News Banner

Hunter Homes Approvals Escalate

Hunter Homes Approvals Escalate

Latest ABS figures on new home building approvals indicate that new home activity across the Hunter performed strongly in 2021, despite the impact of the global pandemic and the closing of the HomeBuilder stimulus.

In 2021 detached dwelling approvals increased 13 per cent in the Hunter compared to the 2020 calendar year. Accounting for 65.2 per cent of all approvals in the Hunter detached homes remain the preference for home buyers locally. Over the same period multi-unit approvals also increased by 39 per cent compared to the year earlier.

In total 5,760 approvals were issued for new dwellings across the Hunter region during 2021, an increase of 21 per cent from the previous year.

Much of the heavy lifting for the residential sector continues to occur in the Lower Hunter, with the local government areas of Lake Macquarie, Maitland, Newcastle and Cessnock continuing to be the top locations for approvals, accounting for 82.77 per cent of total approvals.

Regionally Cessnock LGA was once again a big mover with total housing approvals increasing by 30 per cent. Detached dwelling increased 23 per cent while multi-unit approvals increased by 123 per cent. Since 2012 when 400 dwellings were approved the LGA has increased 137.5 per cent over the past decade, with the growth almost singularly occurring in the supply of detached dwellings, which increased 176.39 per cent.

The value of approved major renovations and alterations also surged in 2021 with Hunter approvals increasing by 26 per cent on the year prior. With a combined value of $359 million the value of works undertaken across the Hunter almost exclusively expanded, other than in the Upper Hunter where several subregions deceased off a considerably lower base.

Looking ahead, HIA are forecasting residential building activity to remain strong as households remain very active in the market. This is evidenced by the strong housing finance data, current low interest rates, rising house prices and strong employment conditions. Together this will ensure the demand for new homes remaining solid in 2022.

Craig Jennion
Housing Industry Association
Executive Director - Hunter