Government News –
Planning restrictions in NSW are driving up the cost of Sydney apartments by 68 per cent, according to a discussion paper by the RBA.
This is disproportionate to costs in other states, the paper, titled The Apartment Shortage, says, and compares to 20 per cent in Melbourne and just 2 per cent in Brisbane.
RBA research economists Keaton Jenner and Peter Tulip measured excess demand for apartments across Australian cities by looking at the difference between what homebuyers are prepared to pay for an apartment and what it costs to deliver.
