It surpasses the previous record set back in 1973
The number of new homes consented in the December 2020 quarter hit a record 11,291 – a significant increase from the previous quarterly record of 10,713 in December 1973, according to Stats NZ.
Meanwhile, the number of new homes consented for the year ended December 2020 reached 39,420. The number of new homes consented per 1,000 residents in the same period was 7.8 – lower than the record 13.4 in the December 1973 year. The population of New Zealand in the mid-1970s was around three million compared with around five million today.
“If the rate of new homes consented continues like the December 2020 quarter, we could possibly see the annual figures surpass those from the 1970s. If population size is considered, however, the figures from the 1970s are still much higher,” said Stats NZ construction statistics manager Michael Heslop.
New townhouses, flats, and units consented in the year ended December 2020 accounted for the significant increase in new consents, rising from 8,208 in the December 2019 year to 11,603 in the December 2020 year. They now make up nearly a third of all new homes consented.
“Consents indicate an intention to build, and most home construction is completed within a year or two after a consent is granted, though delays due to COVID-19 may have occurred for some projects,” Heslop said.
“Typically, high levels of new homes consented are followed by high levels of building activity in following quarters, which has wide benefits for the economy.”
The value of residential consents also rose in the year ended December 2020, hitting nearly $16.5 billion, which made up over 68% of the total value of all consents last year. In the last decade, the value of residential consents grew faster than its non-residential counterpart. It has not been adjusted for inflation, which may vary for different building types.
