Australian housing construction activity is exhibiting early signs of revival according to building approval figures released today by the Australian Bureau of Statistics.
In a further sign of the impact of the First Home Owner's Grant, the number of new private sector houses approved for construction rose in all states except Western Australia in March compared to February data.
South Australia led the way with a 5% increase followed by Queensland 4.5%, New South Wales 4% and Victoria 1.1%
Rider Levett Bucknall Senior Economist Dr Andrew Wilson commented, "The ABS figures indicate a generalised impact of the First Home Owners Grant on the housing construction market. This outcome further strengthens the case for governments to maintain or develop similar initiatives directed at the critical job-generating house building sector."
In Victoria, last months big lift in activity in the apartment and unit construction has been maintained with a further strong rise of 30% compared to the previous month. The number of apartments and units approved for the year ending March 2009 is now 9% higher than the same period ending March 2008 - a very encouraging statistic given the general economic circumstances.