State outperforms national average over 12 months but still falling short of required supply
South Australia has recorded stronger annual housing completions than the national average, but new figures indicate the state is still not building enough homes to keep up with demand, according to the Property Council of Australia.
Australian Bureau of Statistics data for the September 2025 quarter show 3,049 dwellings were completed across South Australia, a fall of 15.6% compared with the previous quarter. Over the same period, total completions across Australia increased by more than 7%.
On a 12‑month view, however, South Australia’s performance is comparatively better. Dwelling completions in the state are up 7% year on year, outpacing the national increase of 2.3%. For lenders and brokers, this points to a relatively resilient construction pipeline, but one that is not expanding quickly enough to relieve pressure on purchasers and renters.
Property Council SA executive director Bruce Djite (pictured right) said the data underline that policy settings are starting to support a stronger pipeline, but that this is not yet translating into sufficient on‑the‑ground delivery.
“South Australia deserves credit for implementing clear initiatives to fast track delivery such as the ‘Housing Roadmap’ and acknowledging the scale of the challenge ahead of us as an industry,” Djite said. “Having federal housing targets puts us in a better net position than before these targets existed.”
The latest quarterly outcome highlights the gap between targets and actual delivery. The Property Council said that, based on federal housing benchmarks, South Australia produced only about 68% of the homes required in the September quarter, leaving a shortfall of around 1,400 dwellings over three months.
Djite noted that recent state measures, including the government’s adoption of the Property Council’s election call for a $500 million pre‑sale guarantee fund, should help unlock more apartment projects in Adelaide’s CBD. He argued, however, that activity also needs to shift into a wider range of housing formats and locations.
He said that more retirement living and aged care options, student accommodation, smaller homes and land lease models that help bridge the affordability challenges are needed. He added that existing commitments will not be sufficient without faster planning and approvals processes.
“This is not about a lack of ambition from government; it’s about the execution,” Djite stressed. “Without faster approvals, fast-tracked Code Amendments and improved infrastructure coordination, the gap between what’s needed and what’s delivered will continue to widen.”
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