The number of new homes being built in Auckland continues to slowly but steadily decline.
The latest figures from Auckland Council show it issued 17,169 Code Compliance Certificates (CCCs) for new dwellings in 2024, down by 5.2% from the peak of 18,103 in 2023. (See graph below for the annual trend).
CCCs are issued when a building is completed and so are the most reliable indication of new housing supply, unlike building consents which are issued before construction starts.
Last year's decline in CCC numbers brought an end to more than a decade of significant growth in Auckland's housing supply, but it remains at an historically high level.
However, the latest figures suggest dwelling completions are continuing to decline.
In December last year 1019 CCCs were issued for new dwellings in the region, down 23.2% compared to December 2023.
And the rolling monthly average over a 12 month period was 1431 in December last year, down from 1509 in December 2023.
The figures suggest the number of new homes being completed has been in a slow but steady decline since about the middle of last year.
The decline so far has not been severe enough to cause a shortage of new homes. But if the decline in the number of homes being built continues, and current indications are that it will, then a shortage could develop at some stage in the future.
Of course that is also dependent on the rate of population growth in the region, which at the moment is also going through a period of change. So there is considerable uncertainty about how well the supply of new homes in the Auckland region will match demand created by population growth in the years ahead.
10 Comments
Number of houses being completed has to decline, given the decline in consents. The only question is how fast the industry clears the remaining backlog.
https://www.interest.co.nz/property/131439/number-new-homes-being-conse…
Completions now reflect consents issued 18 months+ ago.
This is another situation where this website’s analysis has been off the mark.
Greg was saying 1.5 to 2 years ago that high consent levels = high levels of dwellings completed down the line. He kept repeating this mantra. Based on the notion that usually a very high proportion of dwellings consented are built within a couple of years. The thing is, it is ‘usually’ but not always.
I said several times that this was not going to be the case. I set out the reasons why. I was ignored. Yet, I work within the industry and know my stuff.
It’s this kind of bloody mindedness on this website that has disappointed me.
I do not think FHBers have ever been a massive component of spec build, due to banks fears low equity etc.
I see a real danger that the 800k- 1.2 mil build space is now dead, people cannot sell the lower rung on the ladder to step up right now... a quick drive around a few suburbs shows you mainly people trying to get out of past purchases via townhouses.
Its cheaper just to buy a modern home now then take build risk on.
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