Market Recovery
According to September quarter figures released this week by the Australian Bureau of Statistics, approvals to build new dwellings have dropped to their lowest level in more than three years.
Residential building approvals dropped an adjusted 3.8 per cent in the month of September, whilst over the year the figure was down by 24.6 per cent.
In a statement released by Master Builders of Australia, chief economist, Mr. Todd Ritchie, said that the housing downturn was gathering pace and justified [last weeks] decision by the Reserve Bank of Australia to keep interest rates at current levels.
The decline in building approvals and the consequent slowing in the building industry could see the drying up of any oversupply of new property in the market, fuelling a lowering of vacancy rates and eventually leading to a market recovery.
.