The Australian Bureau of Statistics' (ABS) data for March's dwelling approvals shows there were 8,563 units approved for building in March - an increase of 63.6% over February.

This was the main contributor to the second-highest number of total dwellings approved, up 17.4% on the month, and 47.4% on the year.

The highest number of dwellings approved on record was in November 2017.

By contrast, in March, private sector housing approvals were up 0.1% to 14,117 approvals.

Looking to build a home? Below are a handful of low-rate construction loans in the market.

Update resultsUpdate
LenderHome LoanInterest Rate Comparison Rate* Monthly Repayment Repayment type Rate Type Offset Redraw Ongoing Fees Upfront Fees Max LVR Lump Sum Repayment Additional Repayments Split Loan Option TagsFeaturesLinkComparePromoted ProductDisclosure
6.43% p.a.
6.68% p.a.
$2,679
Interest-only
Variable
$0
$530
80%
6.14% p.a.
6.20% p.a.
$2,558
Interest-only
Variable
$0
$835
70%
6.19% p.a.
7.59% p.a.
$3,059
Principal & Interest
Fixed
$8
$500
80%
6.44% p.a.
6.79% p.a.
$3,141
Principal & Interest
Variable
$395
$null
95%
6.64% p.a.
7.03% p.a.
$2,767
Interest-only
Variable
$null
$720
90%
6.64% p.a.
7.10% p.a.
$2,767
Interest-only
Variable
$0
$530
80%
6.78% p.a.
6.82% p.a.
$2,825
Interest-only
Variable
$0
$450
80%
7.05% p.a.
6.24% p.a.
$3,343
Principal & Interest
Variable
$0
$1,212
70%
7.24% p.a.
8.01% p.a.
$3,017
Interest-only
Variable
$20
$644
90%
8.39% p.a.
8.72% p.a.
$3,806
Principal & Interest
Variable
$0
$0
75%
8.45% p.a.
7.71% p.a.
$3,521
Interest-only
Variable
$0
$1,212
90%
8.68% p.a.
8.75% p.a.
$3,909
Principal & Interest
Variable
$0
$900
80%
Important Information and Comparison Rate Warning

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of . View disclaimer.

Important Information and Comparison Rate Warning

However, this number is still at an elevated level, with numbers up 60.7% compared to March 2020, according to ABS director of construction statistics Daniel Rossi.

"The number of private sector house approvals also remained at elevated levels due to HomeBuilder, edging up 0.1 per cent to a new record high in March," he said.

There was a 10.5% monthly fall in private sector housing approved in New South Wales, a 4% fall in Queensland, and 0.1% fall in Western Australia. 

The HomeBuilder grant was reduced from $25,000 to $15,000 in the new year, and wound back after March.

In total there were 23,176 dwellings approved in March, for a total value of just over $7.8 billion, amounting to an average of almost $338,000. 

Housing Industry Association senior economist Nick Ward forecasted the building boom to continue for the foreseeable future.

"We anticipate a record volume of building work will commence this year, and into 2022, with more than 130,000 new detached homes to commence construction," he said.

“The record volume of work will see the industry absorb workers from across the economy.

"This surprisingly strong result was driven by a rise in approvals for town houses and high rise apartments in NSW, Victoria and Queensland."

Photo by Josh Olalde on Unsplash





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