Year-On-Year Hike In Number Of Homes Being Built In Christchurch, Amid Monthly Decline
There has been a total of approximately 2770 Christchurch new homes that have been given consent in the month of September, and this is a large decrease compared to the previous month. This is exactly a 12.5% decrease compared to the month of August. However when comparing this data to the same month in the year of 2016, there has been a sizeable increase of nearly 6%. This could imply one of two things. Either that the number of houses approved in August was a singular anomaly, or that there is a phenomenon coming into play which is looking to further decrease the overall number of Christchurch new homes being consented for construction.
Reports and statistics provide evidence that New Zealand’s real estate and property markets have seen a general decrease for a while. This can be attributed to the stricter criteria that have been approved for lending money. This has happened in a place where the demand for new houses was so high that it ranked higher in the minds of the people than even their values. There is also another factor that has been decreasing the overall number of homes being approved, and that is that the new election and the new government has set up plans that may distract home builders from their residential projects.
According to data from the RLB Crane Index, which is a measuring statistic that determines the amount of construction in a particular are based on the number of cranes there, there have been decreases in construction at places like Christchurch and Hamilton, but there have been commensurate increase in places like Auckland and Queensland.
Reports state that from October of 2016 till September of 2017, there have been nearly 31000 Christchurch new homes built, which when compared to the same period till September 2016 shows a 3% increase. When comparing this to other places in New Zealand, Auckland saw a sharp 27% decrease compared to the month of August, and Wellington showed an increase of 16%. These are the largest percentage increases and decreases among all the cities in New Zealand. But overall, in the month of September in Christchurch, nearly 1.8 billion New Zealand dollars’ worth of construction has been approved.