Approvals for apartments grow in Sydney during October
New South Wales has seen significant growth in the number of approvals for apartments during October, which could indicate a shift in the type of housing being sought in the state, as well as providing a property investment option to interested buyers.
A recent release from the Australian Bureau of Statistics (ABS) has illustrated the growth of approvals during October, with 2,620 apartments being filed through the system. In contrast, there were only 1,684 approvals for houses during the month, highlighting the increasing popularity of unit living in Sydney.
Chris Johnson, the chief executive officer for Urban Taskforce, said in a December 2 statement that the growth of this market in Sydney shouldn't be ignored by the local government. He also said this should be embraced in the proposed planning reforms in order to prevent a loss of industry momentum.
"The reality is that we need a different planning approach for high rise urban communities than for low rise suburban communities where there is little change," said Mr Johnson.
"The planning system must support the dramatic increase in consumer preferences for urban living in apartments."
He went on to say that the changing interests of consumers living in apartments in urban areas was clear, with the New South Wales government needing to embrace the uptake of apartment construction in the region to help solve the housing shortage in the capital city.
Furthermore, Mr Johnson expressed concern about the potential "watering down" of the planning reforms, which could lead to further delay for developments and hinder the progress of the city's residential growth.
This has been echoed by the Housing Industry Association (HIA), which highlighted population growth as a key factor to consider when looking into planning reforms and the wider Australian economy in the future.
HIA Economist Geordan Murray said that access to "appropriate and affordable" living quarters was a main concern in retaining the living level expected by communities across the nation.
"The ABS projections send a clear message to policy makers around the country. Ensuring that the supply of new housing can meet the needs of a growing population is an urgent and ever-present policy priority," said Mr Geordan in a November 27 release.
With the expected population growth and the need for accommodation for people in the capital city, now could be the perfect time to consider investing in apartments for your property portfolio.