ACT housing approvals sharply rebounded in February, signalling a return to steadier levels after a weak 2024, new ABS building approvals data shows, but the Property Council of Australia warns that approvals alone will not be enough to meet the Territory’s housing targets.

612 dwellings were approved in February, up from only 74 approvals in January. Over the 12 months to February, the ACT approved 4,786 dwellings, compared to 4,458 dwellings in the 12 months to January, pointing to a gradual lift in underlying activity.

Ashlee Berrry, Property Council ACT & Capital Region executive director, said the February result was encouraging, but consistency and follow‑through would determine whether the ACT can convert approvals into completed homes.

“A strong month is welcome, but getting back to steadier levels won’t be enough on its own to hit the ACT Government’s housing targets.

“What matters now is whether approved projects can move through to construction and completion. That comes down to feasibility, costs and delivery conditions, which are under increasing pressure.”

Ms Berry said recent national data showed the ACT was tracking well on housing delivery relative to other jurisdictions, but warned that position may not hold as the market works through the legacy of record‑low approvals in 2024.

“The ACT looks strong in national comparisons right now, but many of the projects being completed reflect decisions made before approvals slid to record low levels in 2024,” she said.

“As those projects finish, the impact of very low approvals will start to show. Without a stronger and more reliable pipeline, we risk losing momentum within the next six to 12 months.”

Ms Berry said declining feasibility remained the key risk to sustaining housing supply, particularly for medium‑ and higher‑density projects.

“If feasibility continues to deteriorate, approvals will remain volatile and starts will lag, regardless of headline approval numbers. The focus now must be on keeping projects viable, reducing delays and making sure policy settings support delivery, not just approvals.”

Ms Berry said continued collaboration between government and industry would be essential to stabilising the pipeline and turning approvals into homes on the ground.

“The ACT has shown that reform can lift supply. The task now is to keep that momentum going and make sure today’s approvals become tomorrow’s homes.”