Home renovations booming

Home renovation work is booming, according to data released this week by the Australian Bureau of Statistics.

The figures show that the value of residential building around the country rose 4.4 per cent in August, in seasonally adjusted terms. This was partly driven by an increase of 7.0 per cent in the value of residential alterations and additions, taking that sector to the highest level since April 2016.

The number of approvals to build new dwellings, however, fell 1.6 per cent, in seasonally adjusted terms. The decline was driven by approvals for new apartment building, which fell 11.0 per cent.

Private sector house approvals rose by 4.8 per cent, following an 8.6 per cent increase in July.

ABS Director of Construction Statistics Daniel Rossi observed that the August results indicate increasing demand for detached housing following the relaxation of restrictions in most states and territories.

“However, approvals for apartments remain weak, at near eight-year lows", he added.

Around the country, dwelling approvals rose in Western Australia (33.8 per cent), Queensland (8.1 per cent) and Victoria (1.8 per cent), while falling numbers were reported in Tasmania (26.2 per cent), New South Wales (14.2 per cent) and South Australia (4.8 per cent).