Contrary to the forecasts of many economists, hoping 2 per cent gain in home buildings, the total approvals for homes and apartments declined 0.6 per cent in October on seasonally adjusted basis.

The downfall, by and large, is attributed to difficult financial scenario due to global slowdown. Apartment category continued to perform at a very sluggish pace to decline at 19.3 percent while house building sector did well with 5 per cent growth rate. 'Other dwelling' approvals too recorded a downfall of 28.9 per cent due to some national and international factors against 25.7 per cent rise in house approvals in the corresponding period last year.

Harley Dale, the Chief Economist at the Housing Industry Association, added, "It is encouraging to see signs of a new home building recovery, but then after five years of trend decline in residential construction you would certainly hope to be seeing some evidence of a turnaround." Dale asked for the need to make more efforts to encourage demand in the housing segment adversely impacted by global slowdown.