The number of new homes under construction is on the rise.

Australian Bureau of Statistics data shows construction started on 52,283 new dwellings in the December 2025 quarter – an 18.5% increase on the same period in 2024.

New South Wales is the busiest with work starting on 16,272 dwellings, followed by Victoria, Queensland, Western Australia and South Australia.

While work is underway on more properties, the data also shows the number of projects completed during the quarter was lower than at the same time in 2024.

There were 43, 598 dwellings completed in the December quarter - 1.8% lower than December 2024. The level of completions means Australia is about 77,500 homes short of the National Housing Accord’s target.

Property Council of Australia executive director Matthew Kandelaars says while many look at approvals data as a positive sign, it is the commencement and completions data that paint a true picture of what is happening with housing delivery.

“With no state currently on track to meet its housing target, stronger commencements alone will not close the supply gap if fewer homes are being completed,” he says.