The July Building Approvals figures are stronger on the back of renewed unit approvals growth. The seasonally adjusted data for Australia shows total approvals rose +11.3% m/m and are up +3.1% y/y. The breakdown shows house approvals fell -0.6% m/m and were down -3.1% y/y while units were up +23.4% m/m and up +9.0% y/y. The less volatile Trend series (which is a much preferred measure) shows total approvals up +0.2% m/m and +0.9% y/y.
We see a similar, although weaker, picture in Queensland. Here the seasonally adjusted data has total approvals up +12.8% m/m and +21.7% y/y. Again, this is on the back of strong unit approvals which were up +29.8% m/m and +47.8% y/y. House approvals fell -1.7% m/m but managed a small +1.5% y/y gain. The Trend series shows total approvals fell -1.8% m/m and down -1.9% y/y (after some positive revisions to the June data). Trend approvals in Queensland are now at their lowest level in 18 months (and 6.7% below record highs) while nationwide we sit at a 13 month high (and are only 2.2% below record highs). Further signs, if we needed them, that the Queensland economy continues to disappoint and weaken.