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{{propApi.successMessage}} {{region}} Change locationNew South Wales climbs ladder in national housing scorecard
New South Wales climbs ladder in national housing scorecard
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The national scorecard measures housing activity across each state and territory against its own ten‑year average. While NSW remains in the middle of the pack nationally, the latest results show improving momentum across several indicators, even as ongoing challenges remain.
HIA NSW Executive Director Brad Armitage said the improved ranking reflects a state housing sector that is starting to respond after a sustained period of underperformance.
“NSW is not where it needs to be yet, but these results show the state is heading in the right direction,” said Mr Armitage. “Climbing the rankings is encouraging, particularly given the scale of the task facing NSW when it comes to boosting housing supply.
“The scorecard shows strong levels of activity in alterations and additions, with approvals sitting more than 35 per cent above the decade average, and total private expenditure on these projects also above long‑term norms.
“There are also signs of stabilisation in the construction pipeline. While detached housing approvals and commencements remain below their ten‑year averages, the volume of homes under construction has strengthened, with the pipeline now almost 8 per cent above the decade average.
“In the multi‑unit sector, approvals remain subdued, but commencements surged in the most recent quarter, reaching their highest level since 2018–19. This improvement suggests renewed momentum in apartment construction, which will be critical to meeting NSW’s long‑term housing needs.
“Encouragingly, first home buyer activity in NSW outperformed most other states, with loans to first home buyers more than 22 per cent above the decade average. Investor activity has also lifted to record levels.
Mr Armitage said recent decisions aimed at reducing delays, improving certainty and lowering costs across the housing system were helping to create better conditions for new homes to proceed.
“Certainty streamlined processes and a more practical regulatory environment are critical if NSW is going to lift housing supply,” he said.
“Policy measures have been undertaken in recent years which have in turn helped boost the volume of apartment starts in Greater Sydney. This includes the State Government’s $1 billion Pre-sale Finance Guarantee, changes to planning legislation, the establishment of the Housing Delivery Authority (HDA) and the NSW Housing Pattern Book.
Despite the improvement, HIA said the scorecard reinforces how much more needs to be done if NSW is to meet its share of the National Housing Accord target of 377,000 homes over five years.
“The improvement in NSW’s ranking shows progress is possible, but it also highlights how far housing supply still has to go.
“Sustained reform that lowers the cost of delivery and provides certainty for builders and developers will be essential if this upward trend is to continue,” concluded Mr Armitage.
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