Strong housing approvals for NSW in February

Strong-housing-approval-figures-in-New-South-Wales-may-help-ease-pressure-on-the-Sydney-property-market_157_66406_0_14099654_300Housing approvals across New South Wales have remained strong, according to an April 2 release from Minister for Planning and Infrastructure Brad Hazzard.

This may ease the pressure on the Sydney property market, which is struggling to keep up in some areas. As housing approvals rise, this places downward pressure on the market, helping settle overall dwelling prices.

Such an announcement will be warmly welcomed by potential first time buyers looking to secure property in the NSW capital.

Upward trend over the decade

“Housing approvals in NSW have continued their upward trend with the last 12 months the best since July 2004,” explained Mr Hazzard.

Year-on-year to February 2014, a total of 49,236 homes were approved in the state. In February  alone, the figure was a strong 4,442.

The government is applauding these figures as great for both home buyers as well as the NSW economy. An increase in approvals results in more construction activity, providing jobs in areas that are hot spots for new dwellings.

Many new housing developments are popping up in Sydney’s outer fringes as the squeeze on space forces lot creation further from the city centre.

However, with good transport links, these new development areas are proving popular with a range of buyers. This shows that provided the right infrastructure is in place, an increase in housing approvals can certainly be beneficial.

Focus on policy

Industry commentators have previously mentioned the importance of strong policy.

For instance, Housing Industry Association Chief Economist Geordan Murray stated the importance of “favourable” policy settings to encourage consistent housing activity in an April 2 statement.

“Targeted NSW government policies to increase housing supply and build confidence are driving the best performance in the housing approvals in NSW in a decade,” noted Mr Hazzard.

“We will continue to make changes that bring confidence to the housing industry and to deliver for the people of NSW,” he continued.

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