Australia's Building Approvals Falls Sharply in December

Australia’s building sector slowed sharply in December 2025 after modest gains in November. Total dwelling approvals dropped 14.9% to 15,542, with private sector houses rising slightly 0.4% to 9,487, while private sector dwellings excluding houses plunged 29.8% to 5,855. Most states recorded declines, including Victoria (-32.2%), Queensland (-16.3%) and New South Wales (-14.3%), with Tasmania the only state to see growth (+11.3%). The total value of building approvals fell 12.3% to $16.32 billion. Residential building dropped 16.0% to $9.49 billion, including a 17.8% fall in new residential projects. Non-residential approvals declined 6.4% to $6.83 billion. Trend estimates showed minor rises in residential values but continued weakness in non-residential projects.