Last year’s NSW Budget noted that the state’s housing shortage had disappeared due to the collapse in immigration:
Building approvals are now running well ahead of the change in population, which is depressed due to the lack of inward migration. This suggests a potential oversupply in the near-term relative to the underlying demand for housing (Chart 2.13).
Now the Property Council is warning that Greater Sydney is facing “an underlying deficit of housing supply” amid the city’s growing population:
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Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness.
Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.
