Summarised by Centrist
New home construction is finally showing signs of life, with the highest monthly consent figures in more than two years suggesting a slow but real recovery in residential building.
Stats NZ reported more than 3,700 new homes consented in September 2025, up nearly 30 percent on the same month last year. After seasonal adjustment, September was up just over 7 percent on August. “Residential construction has declined in recent years, but home consents have been trending up through 2025 and have strengthened in recent months,” said economic indicators spokesperson Michelle Feyen.
Multi-unit developments led the growth. Consents for townhouses, apartments, and flats jumped close to 40 percent, while stand-alone houses rose 16 percent. Over the September quarter, over 10,000 homes were consented, the strongest seasonally adjusted total since mid-2023. Auckland, Otago, and Wellington accounted for most of the increase.
In the year to September 2025, nearly 35,000 homes were consented, up more than 3.5 percent from 2024. Multi-unit homes made up the bulk of the rise, with apartments surging nearly 50 percent.
“There is a speculative element,” said Infometrics chief forecaster Gareth Kiernan. “Lower mortgage rates could lift property values, which would help cement a more robust upturn in 2026.”
Despite the uptick, activity remains well below the 2022 peak of over 50,000 consents, leaving the industry in cautious recovery mode.
