Residential building consents

Townhouse consents strong, consents for other dwellings soft

31 Aug 2022
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Joel Glynn

Our take on the latest Residential building consents (Wed 31 Aug 2022)

Annual dwelling consents
50,614
As at July 2022
House consents down 25% from July 2021
Townhouse consents up 48% from July 2021

The key numbers...

  • Seasonally adjusted dwelling consent numbers rose 5.0% from June 2022, but the annual total fell by 122 consents to 50,614.
  • Consents for standalone houses were the weakest build type again in July, falling 25%pa. However, consents for retirement units and apartments were also down significantly in July, by 20% and 21%pa respectively.
  • Townhouses continue to be the strongest segment of dwelling consents, up 48% from July 2021, with 20,783 townhouse consents issued in the year. Houses still made up a larger share of consents over the year ended July 2022, totalling 23,327 consents, but with annual house consents falling again in July, the gap is closing.
  • Despite clear signs of slowing consent numbers, the value of consents rose 7%pa in July, likely on the back of high residential construction costs. The cost of constructing dwellings and outbuildings increased 18% over the year to June 2022.
  • Wellington, Auckland, and Canterbury all reported more consents in the year to July 2022 than the same period last year, up 11%, 5%, and 3%pa respectively. Consents were very weak in the three months to July compared to a year earlier in Taranaki, Nelson, and Gisborne, where consents fell 34%, 31%, and 25%pa respectively.

Townhouse consent growth continues to accelerate

Annual % changes
4330

...and our reaction

  • The strength of townhouse consents, which are particularly buoyant compared to consents for standalone houses, is no surprise in July. Economic factors, such as lower housing affordability and higher interest rates, continue to push purchasers towards smaller, higher-density housing.
  • Provincial New Zealand is experiencing a faster drop off in residential consent numbers, with the largest urban areas still showing at least a small level of positive growth. Excluding Auckland, Wellington, and Christchurch, nine of New Zealand’s 13 remaining regions recorded declining dwelling consents in the three months to July 2022, compared to the three months to July 2021.
  • As noted above, residential construction costs rose 18%pa in June, so a 7% increase in the total value of consents over the year to July indicates that the real value of consents is falling markedly.

Latest updates

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Residential building consents

Residential consents fall 3.6% in June

Mon 3 Aug 2026
Monthly
40,581 Annual consents over the June 2026 year
19% June 2026 consents over the June 2026 year
3.6% June 2026 consents from May on a seas. adj. basis
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Residential building consents

Residential consents fall 4.0% in May

Thu 2 Jul 2026
Monthly
39,737 Annual consents over May 2026 year
4.0% May 2026 consents from April on a seas. adj. basis
22%pa Townhouse consents over May 2026 year
Residential building consents

Residential consents jump up 11% in April

Wed 3 Jun 2026
Monthly
39,087 Annual consents over April 2026 year
11% April 2026 consents from March on a seas. adj. basis
19%pa Multi-unit consents over April 2026 year
Residential building consents

Residential consent momentum trends sideways

Fri 1 May 2026
Monthly
37,813 Annual consents over March 2026 year
3,300pm Consents trend sideways on a seas. adj. basis
14%pa Townhouse consents over March 2026 year