Residential building consents

Townhouses push dwelling consents higher

1 Dec 2025

Our take on the latest Residential building consents (Mon 1 Dec 2025)

Dwelling consents

35,552

Over the year to October 2025

Total consents up 24%pa from Oct 2024

Townhouse consents up 37%pa from Oct 2024

There were 3,520 new dwelling consents issued in October, an increase of 24%pa from October 2024. After seasonal adjustment, October consents were down 0.9% from the strong September result, but still the second strongest month since June 2023. Consents totalled 35,552 over the year ending October 2025, which was 6.2%pa higher than the year to October 2024.
Consents lifted across all categories in October 2025, though townhouses were the key driver of the overall lift in consents. A total of 1,612 townhouses were consented in October, 37%pa higher than October 2024, and outnumbering the 1,568 house consents. House consents rose 15%pa from October 2024, apartments rose 6.0%pa, and retirement units rose 12%pa.
Substantial increases in townhouse consents were recorded in Auckland, Bay of Plenty, Wellington and Canterbury in October. Townhouse consents totalled 103 in Bay of Plenty in October, a record high for the region and more than double October 2024 levels. Otago was notably subdued on the townhouse front in October, though the region recorded three record-breaking months in the past year.
Substantial increases in standalone house consents were recorded for eight of 16 regions. Two regions – Hawke’s Bay and Tasman – continue to record declines in standalone house consents.
Retirement units remain challenged, with just 146 consented in October, for a total of 1,236 in the year to October. Annual retirement unit consents are at their lowest in over a decade.

New dwelling consents, annual running total

The recovery of dwelling consents is well underway, led by strong growth in townhouse consents. Consents are showing greater strength than other indicators of housing and household activity. House values rose 0.2%pa in the September 2025 according to Cotality, and consumer spending rose 0.6%pa according to Marketview, behind inflation of 3.0%pa. Taken together with the strong increase in townhouse consents, this pattern could suggest that the dwelling consent recovery is more speculative and developer-led. Auckland remains a focal point for the recovery in dwelling consents, accounting for 55% of the strong-growing townhouse consent category in October.
Sustained strength in September and October consents is slightly ahead of our October 2025 forecasts, but broadly consistent with the upward trend we expect over the next 12 months, with an expected peak of a 38,400pa over the year to September 2026.
On top of low interest rates, the economic recovery will boost the housing market over the coming year. However, we still expect underlying demand and population growth to be weak, as a high unemployment rate takes time to unwind, leaving little impetus for net migration to lift from its current low level.

Latest updates