By a staff reporter, with AAP
Building approvals jumped over 10 per cent in July, beating analyst expectations of a more modest rise, according to the Australian Bureau of Statistics.
ABS data showed the number of buildings approved increased a seasonally adjusted 10.8 per cent to 14,304 during the month.
That compares to 12,778 approvals in June, seasonally adjusted.
Bloomberg economists had expected the figures to show a four per cent increase in approvals during the month.
Building approvals are now 28.3 per cent higher, seasonally adjusted, than in the same month last year, against analyst expectations of a 20 per cent lift.
Approvals for fully-detached houses rose 3.9 per cent in the month.
JP Morgan economist Ben Jarman said there was a rebound in approvals for both the detached houses and higher density homes categories.
"I don't think there is anyone who is doubting that building approvals are trending up, the question is how sustainable is it?" he said.
"We're reasonably upbeat about what building approvals can do this year. In fact, we think they will be adding more to growth than they have in the last few quarters.
"The question is will they offset what we're seeing elsewhere, which is a fair bit of weakness."