Building permits rebounded 3.6% in November after a sharp drop of 13.6% in October.
The Australian Bureau of Statistics said the number of approvals was due to the “private sector housing excluding houses” component, which rose 9.7% to 5,315 approvals.
Private sector housing approvals rose 1.4 percent to 10,892, after rising 3.5 percent in October.
“The series has reached historically high levels over the past year, in large part thanks to government stimulus measures and record interest rates,” said Daniel Rossi, director of construction statistics at ABS. .
“As private housing approvals no longer hit record highs, November’s result remains 25.8% above the level before the November 2019 pandemic, indicating continued strength in the single-family home market.”
The ABS will release retail sales figures for November on Tuesday.
Economists expect another strong result of around 5%, building on the 4.9% increase in October as NSW, Victoria and ACT all emerged from extensive lockdowns battling the Delta variant .
However, an ANZ analysis last week showed spending the week through January 5 was at its lowest since Delta lockdowns, with consumers being cautious about their presence in public places. while the Omicron strain appeared.
This has been compounded by staff shortages, as supply chain disruptions leave some supermarket shelves bare.
Prime Minister Scott Morrison has acknowledged that the Omicron variant has a moderating impact on consumer demand.
“I think it’s pretty obvious and understandable,” he told reporters in Canberra.
But he said earlier evidence showed the economy rebounded quickly after the lockdowns were removed.
“We’ve seen it a lot of times now and we have no reason to think it would be any different (this time),” he said.
He said it was too early to assess the overall impact on the economy of the highly infectious variant of Omicron, but Treasurer Josh Frydenberg and the Treasury were monitoring developments.
However, Deputy Treasurer Michael Sukkar is confident that the Australian economy can overcome the challenges posed by Omicron, with households having the security of huge savings.
Mr. Sukkar says new data shows households racked up $ 48 billion in cleared mortgage accounts and more than $ 170 billion in other savings accounts during the pandemic.
“So that is $ 220 billion in economic firepower that is there – this is a great basis for continuing to support our economic recovery,” Sukkar told Sky News.
“It means more discretionary spending because you’re paying less on your mortgage than you would otherwise, with money in your clearing account.”