Back
30 Nov 2015
New Zealand building consents strengthening - ANZ
FXStreet (Guatemala) - Analysts at ANZ noted that the number of residential dwelling consents rebounded 5.1% m/m in October from the 5.7% drop in September.
Key Quotes:
"Compositionally, the rebound in October was due to a lift in the volatile multi-dwelling component, with the number of housing consents down 0.2%. The floor area of new dwelling consents was down 6% m/m, the second drop in the last three months."
"In the 12 months to December, a total of 26,450 residential consents were lodged – the highest in a decade. Statistics New Zealand noted that the trend in residential consents is increasing, and is at its highest level since July 2004. Indeed, the trend for the number of new dwellings consented in Auckland was the highest since December 2004, with a strengthening trend for the Waikato, Bay of Plenty, and Northland. It is decreasing in Wellington and has shown little change in Canterbury for most of this year, to be down about 10% since its August 2014 peak. We expect these regional differences to continue."
"Despite our estimates showing a 16% sa fall in the value of non- residential consent issuance in the month, at $481m, it remains at historically high levels and is up 4.1% on the previous 12 months. We expect activity in this sector to strengthen in the coming months."
Key Quotes:
"Compositionally, the rebound in October was due to a lift in the volatile multi-dwelling component, with the number of housing consents down 0.2%. The floor area of new dwelling consents was down 6% m/m, the second drop in the last three months."
"In the 12 months to December, a total of 26,450 residential consents were lodged – the highest in a decade. Statistics New Zealand noted that the trend in residential consents is increasing, and is at its highest level since July 2004. Indeed, the trend for the number of new dwellings consented in Auckland was the highest since December 2004, with a strengthening trend for the Waikato, Bay of Plenty, and Northland. It is decreasing in Wellington and has shown little change in Canterbury for most of this year, to be down about 10% since its August 2014 peak. We expect these regional differences to continue."
"Despite our estimates showing a 16% sa fall in the value of non- residential consent issuance in the month, at $481m, it remains at historically high levels and is up 4.1% on the previous 12 months. We expect activity in this sector to strengthen in the coming months."