Apartment approvals for August have reached an all-time high in NSW, says the Urban Taskforce.
“NSW has achieved record levels of apartment approvals in August, adjusted for trends, with 3,467 apartments approved,’ says Urban Taskforce CEO, Chris Johnson. “Overall home approvals in Australia have dropped but New South Wales is continuing its excellent performance.”
“Victoria has been leading NSW in overall home approvals for some time but now NSW with 5,794 approvals is ahead of Victoria at 5,211 in trend terms.”
“Across Australia high density apartments are getting close to becoming the dominant housing type being approved. There were 9,158 apartments approved in August across Australia, only just behind the 9,562 house approvals.”
“New South Wales is also doing well in approvals for non-residential buildings with a $750 million in August up from $700 million in July.”
“While the NSW results are up, the dip in approvals nationally is a signal that the robust housing construction market may be slowing down. This could be a result of some banks clamping down on loans to investors in the current market. The property industry needs the investors to keep stimulating the market while ensuring there is a balance between investor owners and owner occupiers in apartment projects.”
“Housing construction in NSW is now being driven by apartments with house approvals at 2,327 in August well below apartments at 3,467. To continue this trend will require strong support for urban infill projects in Sydney by the soon to be formed Greater Sydney Commission.”
See below graph based on ABS figures on New Monthly private sector higher density home approvals by state: