Australia’s seasonally adjusted dwelling approvals fell 1.1% month-on-month to a four-month low of 17,019 units in May 2026, following a 0.2% decline in the previous month and in line with preliminary estimates. The weakness was driven by a sharp drop in approvals for private sector dwellings excluding houses, which slumped 10.4% after rising 4.0% in the previous month. By contrast, approvals for private sector houses rebounded 2.8%, reversing April’s 0.4% decline. Across the states, approvals decreased in Victoria (-3.0%), Queensland (-8.8%), and Western Australia (-1.3%), while increasing in New South Wales (2.2%), South Australia (10.9%), and Tasmania (4.8%). Compared with a year earlier, total dwelling approvals rose 5.3%, easing sharply from April’s 10.9% surge.

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