NSW and regional Australia have been featured strongly in the list of Australia’s fastest growing housing markets, which were revealed in the HIA’s latest Population & Residential Building Hotspots 2017 report, released earlier this week.
A hotspot is defined as an area where population growth exceeds the national rate of 1.4 per cent and where the value of residential building work approved exceeds $150 million.
Queensland’s Pimpama took the top spot nationally with a population growth rate of 35.1 per cent, followed by NSW’s Cobbitty-Leppington which grew by 27.6 per cent.
The national top 20 Hotspots list features no less than nine (45 per cent) areas located in NSW - all of which are in the greater Sydney area.
HIA Senior economist Shane Garrett believes the record year for home building in 2016 has supported economic activity across Australia: 'The good news on housing is not confined to the major capital cities. Our report shows that regional Australia is also peppered with housing hotspots'.
'The report identifies 86 separate areas in every state and territory across Australia where residential building activity is acting as the engine of economic activity, employment and development. Small businesses are particular beneficiaries of housing activity', he explained.
Despite NSW’s dominance in the national list HIA executive Director David Bare believes the NSW Government must stay committed to implementing policies and timely delivery to maintain the momentum and drive its agenda of affordable housing, and avoid predictions of a weakening in new housing supply.
He said: 'The NSW Government must remain focussed on implementing policies that drive supply, reduce delivery costs and delays', said Bare. 'There is a considerable regulatory burden both existing and in the process of implementation, that is adding unnecessary costs to new housing in NSW and it is reducing housing affordability at a time when the Government is seeking to achieve just the opposite'.
As well as NSW’s nine spots in the top 20, HIA identified hotspots in every state with four in Victoria (in the Top 20), three in Queensland (in the Top 20), two each in WA and NT (in the Top 20), five each in SA and TAS and nine in the ACT.
The full report is available for purchase through www.hia.com.au.