Homeowners will have more freedom to build terraces, townhouses and duplex apartments in Sydney and across New South Wales under new rules aimed at boosting much-needed supply. Become.
The New South Wales Government will force Parliament to lift a ban on building low- and medium-density housing near transport hubs, town centers and other well-located areas.
This is the latest planning change aimed at increasing housing density and providing a greater variety of housing options as Australia's rental crisis worsens and house prices are at record lows.
The government estimates the major changes will deliver up to 112,000 new homes across the Greater Sydney, Hunter, Central Coast and Illawarra regions.
This will meet 30% of the 377,000 new homes needed in New South Wales by 2029, under ambitious housing targets agreed by federal, state and territory governments earlier this year. It will be occupied.
NSW Minister for Planning and Public Spaces Paul Scully said Sydney, despite having one of the lowest density cities in the world, had built low- and mid-rise buildings in areas zoned for such housing. He said less than half of councils have given permission to build houses.
“We are facing a housing crisis and we need to change the way we plan for more housing. We can’t keep building and we need to create more filling capacity with more diverse types of housing. “There is,” he said.
Scully said good density means townhouses, apartments and terraces are clustered together near shops, main streets and parks.
PropTrack senior economist Anne Flaherty said property prices reached a new peak in October as vacancy rates fell to record lows, with more people buying and renting homes in Greater Sydney. He said it has never been more affordable.
“Greater Sydney is currently in the midst of a housing crisis, with the supply of new homes being built not keeping pace with the city's population growth,” Ms Flaherty said.
“Increasing the supply of housing is the only long-term solution and this move to increase density limits should help support the supply of more homes.
New planning changes are estimated to deliver up to 112,000 new homes in Greater Sydney and other parts of New South Wales.Photo: Getty
“Allowing the development of more townhouses and low-rise apartments will also increase the variety of housing available to buyers and renters, facilitating the supply of more affordable housing.”
How the changes work
Currently, each local authority has its own rules regarding what types of housing can be built in its area.
In many municipalities, these zoning rules prohibit the construction of new low- and medium-density housing near transportation, infrastructure, and social amenities.
Last month, the state government identified significant gaps in density approvals for R2 and R3 zoning regulations.
The new changes will allow dual occupancies, such as duplexes, in all R2 low-density residential zones in the state.
The Minns Government is overhauling planning regulations to encourage the construction of low-rise, medium-density housing.Photo: NewsWire / Monique Harmer
This will enable terraces, townhouses and duplexes to be built close to transport hubs and town centers in R2 low-density residential areas across the Greater Sydney Region, Hunter, Central Coast and Illawarra (also known as the Six Cities region). Construction of housing is permitted.
“This 'missing middle' means that low-rise housing has been ignored as the housing crisis deepens,” Mr Scully said.
In addition, medium-rise apartment buildings near transportation hubs and town centers will be permitted in R3 medium-density zones and suitable employment zones.
Mr Scully said 60 per cent of R3 zones across Sydney where multifamily housing is “appropriate” currently prohibit the construction of multifamily buildings of any size.
Industry supports this move
Real Estate Council NSW Executive Director Katie Stevenson said the changes would bring much-needed consistency across council boundaries and ensure that housing for young families was a priority in upcoming local government elections. He said it would not become a political issue.
“Local councils need to move away from the outdated mindset of considering only the needs of existing residents and a vocal minority and consider how best to support young families in their local areas looking to rent or buy a home. We have to start,” Stevenson said.
The government wants to see more new construction of townhouses and other low-to-medium-rise housing across the state.Photo: NCA NewsWire / David Swift
Steve Mann, CEO of the Australian Urban Development Association of New South Wales, said New South Wales Premier Chris Minns and the Planning Minister are taking meaningful and decisive action to address the housing crisis. He said there was.
“Two-person homes and six-storey flats alone won't solve the housing crisis, but any new policy that delivers more diverse and accessible housing is a win for NSW residents,” he said. Ta.
“Tackling the housing crisis requires new thinking and bold action, and it is encouraging that this Government has the courage and conviction to make real change.”

