Faster Approvals May Encourage Investors to Renovate

96The New South Wales government has seen success with its complying development process, which is a fast-track route for dwelling approvals.

A growing number of home builders and homeowners have been accessing fast-track approvals, according to a March 9 statement from Minister for Planning & Infrastructure Brad Hazzard.

Complying development made up an impressive 25 per cent of housing approvals during 2012-2013, which is a 12 per cent increase on the prior 12 months.

The increase in popularity of complying development applications could reflect the increasing demand to secure property in NSW, particularly in the capital.

With rising pressure on Sydney’s housing supply, the fast-track process may help ease pressure on the city so that more people can secure the right property.

“It’s great to see that home builders can take the hassle, headache and delay out of┬áplanning by taking advantage of the fast-track approval process,” announced Mr Hazzard.

Benefit for investors

Investors can also benefit from the fast-track approvals process.

On one hand, the government’s complying development route shows dedication to speeding up the dwelling approvals process.

However, 75 per cent of housing approvals are regular development applications, which take an average of 68 days to determine.

For this reason, couples and families looking to build will still need a property to live in and a well-maintained rental property may be just the ticket.

Furthermore, housing development areas are generally located further from the city centre than inner-city apartments and semi-detached established dwellings.

Young professionals may want to maintain an inner-city lifestyle for some years before moving further out, making renting a desirable prospect.

Investors can also make use of the fast-track process to make renovations to their assets – making their rental properties the best option on the market for potential tenants.

Leave a Reply

Your email address will not be published. Required fields are marked *