Home News RBA reports huge apartment growth in four years

RBA reports huge apartment growth in four years

Font size :
The number of apartments in capital cities rose as much as 36 per cent since 2012, a new report from the Reserve Bank of Australia stated.

In Sydney alone, apartment quantity has risen by almost 20 per cent since 2012, with units last year accounting for one-third of all residential building approvals. Brisbane has an even higher number at 36 per cent, followed by Melbourne at 30 per cent and Perth at 20 per cent.

“The strong volume of apartment construction has made a significant contribution to economic growth and employment,” wrote Michael Shoory, the author of the report titled, ‘The Growth of Apartment Construction in Australia.’

“The majority of the new apartments have been built in the most populous cities and primarily near inner-city areas or close to transport infrastructure. The increase in apartment construction has delivered many dwellings that are less expensive than larger, lower-density housing… mostly in areas that are well-connected with amenities and employment centres.”

Sydney, Melbourne, and Brisbane account for more than three-quarters of all apartment approvals since 2011. Sydney had building approvals for 78,000 apartments from 2012 to 2015, while Melbourne had 68,000 and Brisbane had 30,000.

The sharp increase in apartment approvals has also increased site prices as competition intensified between developers. Apartment demand was driven by population growth, higher prices for houses and land, and an appetite for living closer to work and lifestyle amenities.

The Reserve Bank also predicts a strong demand for apartments in the future. According to the report, “Apartments are likely to continue to play an important role in providing new housing as land supply constraints motivate prospective home owners to purchase higher density dwellings.”

Whether you are looking to buy your first home, move home, refinance, or invest in property, a mortgage broker can help. Access loans from all the major lenders, get help with paperwork – plus there is no charge for this service. Get help from a local mortgage broker

Mortgage News and Articles

Many millennials are relying on an inheritance to buy homes Many millennials are relying on an inheritance to buy homes

Lawyers are seeing cases where disputes over inheritance have created tensions within families Read more

Gen Y homeowners fearful of interest rate rises Gen Y homeowners fearful of interest rate rises Many are worried rises will negatively impact their cost of living expenses, according to a new survey ... Read more

Young Sydneysiders are less keen on homeownership Young Sydneysiders are less keen on homeownership Many would rather ‘rentvest’ than be tied down to a costly owner-occupier mortgage, according to new studies ... Read more

New social housing aims to transform Ivanhoe Estate New social housing aims to transform Ivanhoe Estate The sprawling redevelopment aims to boost the supply of affordable housing in Sydney ... Read more

More mortgage news and articles

Sponsored Links

Wednesday, Aug 23, 2017
Top Featured Rates
Top Bank Rates

Get help choosing the right home loan

Let us help you find the right home loan for your needs.

Tell us a bit about your circumstances:
  • Purpose of mortgage
  • Household Income
    $
  • How much do you want to borrow?
    $
  • How much deposit do you have?
    $
  • How much is your house worth?
    $
  • How much do you still owe on your mortgage?
    $
  • What type of mortgage do you have?


  • How much is your new home?
    $
  • How much do you want to borrow?
    $
  • How soon do you want a mortgage?
Next
  • First name
  • Last name
  • Where do you live?
  • Phone number

Special Offers

Related Keywords