Persistently strong growth in house prices in Melbourne and Sydney continue to drive up approvals to build new homes, especially approvals to build multi-occupancy home units. The latest August home building approvals numbers released yesterday were again surprisingly strong showing seasonally adjusted approvals at 20,788, only slightly down on the 21,170 recorded in July which itself was a massive 12% spike up from the June reading. Home building approvals in August were up 10.1% compared with August 2015 and in August last year it was widely believed that approvals could hardly get any stronger. It is the multi-occupancy part of the home building approvals story that is truly eye-popping in strength, topping 11,000 in both July and August and in August up 26.3% from the same month in 2015.