Perth building approvals approaching demand levels
Between the early 1990s and early 2000s the pace of population growth in Perth was pretty close to the rate of new dwellings being approved, as evidenced by recent analysis from CoreLogic RP Data. However, large spikes in our population in the last 10 years or so have seen the supply of housing fall woefully short of the demand of Western Australia's capital.
Although WA has been expanding quicker than every other state in the country for at least the past year, the rate at which our population has grown is finally slowing down. At the same time, building approvals have increased, meaning we're closer to meeting housing needs than we have been in quite a while.
The high demand for land in Perth and WA has pushed up prices of new blocks. In the past five years the price per square metre of land has increased by $218, which is a significant jump. This is partly due to the move towards smaller blocks and low-maintenance lifestyles, as lots released have steadily decreased in size.
At apg homes we have worked hard to make sure that we are providing the most relevant housing solutions possible to Perth residents. This means creating new single and double storey house designs that maximise floor space, making them ideal for both older blocks of land and new greenfield sites.
"With population growth looking likely to slow further it would be encouraging, particularly from a housing affordability perspective if the heightened level of approvals persisted," wrote Cameron Kusher, RP Data's senior research analyst in an April 8 post.
"More importantly of course will be that we see these approvals ultimately constructed, particularly in our largest capital cities where housing deficiency has been greatest."
With no end in sight to the elevated level of activity in the building sector at the moment, it's imperative that consumers work with a builder they can trust to deliver on time and with great attention to detail and quality. The proven track record of apg homes can be of great comfort in times like these.