Housing approvals dropped 12.5 per cent in May, following increases in the previous three months, according to figures released by the Australian Bureau of Statistics this week.

Seasonally adjusted approvals for new detached houses dropped just 2 per cent following increases in the previous four months; however approvals for units/apartment buildings fell by 39.5 per cent in May to a record low level of just 1,943 dwellings.

The number of seasonally adjusted residential dwelling approvals decreased in May by 25.6 per cent in New South Wales, 8.9 per cent in Victoria, 13.3 per cent in Queensland and 17.5 per cent in South Australia. 

Dwelling approvals increased by 27 per cent in Tasmania and trended upwards in both the
Northern Territory (up by 3.0 per cent) and the Australian Capital Territory (up 11.2 per cent).  Western Australia recorded no change.

The seasonally adjusted estimates for the value of new residential building approved and alterations and additions approved fell 5.6 per cent and 13.4 per cent respectively.