There’s been an increase in the number of new homes approved for construction, according to the latest data from Stats NZ.
There were 49,538 new homes consented in the year ended December 2022, which was 1.1% higher than the year before.
That number was also very high by historical standards, although below the peak of 51,015 recorded in May 2022.
Consents rise in the South, fall in the North
While new home approvals increased during 2022, there was a wide variety in consents depending on housing type and geography.
For example, approvals for new houses fell 16% over the year, while approvals for new multi-unit homes (which includes apartments, retirement village units, townhouses, flats, and units) rose 20%.
Meanwhile, North Island consents fell 2.6%, while South Island consents rose 13%.
The region-by-region breakdown was:
- Tasman = +26.6%.
- Nelson = +23.2%.
- West Coast = +22.9%.
- Canterbury = +15.3%.
- Marlborough = +13.5%.
- Wellington = +5.9%.
- Northland = +4.6%.
- Auckland = +3.8%.
- Otago = +2.5%.
- Gisborne = -4.1%.
- Southland = -7.4%.
- Waikato = -9.4%.
- Manawatu-Whanganūi = -16.9%.
- Bay of Plenty = -23.0%.
- Hawke’s Bay = -30.7%.
- Taranaki = -34.8%.
The more new housing New Zealand receives in the coming years, the more affordable the overall housing pool could be, as higher supply usually means lower demand, which in turn puts downward pressure on prices.
I can help you get a construction loan
Before you think about building a new home, it’s important you get your finance in place so you know your budget.
Get in touch if you’re looking to build. I’ll explain the difference between construction loans and regular home loans, talk you through your options and manage the application process for you.