By
The construction of 174 rental housing units in inner Sydney is about to commence, after the NSW Government delivered yesterday a $23.27m check City West Housing, a not-for-profit affordable rental-housing provider.
Sydney is the second most unaffordable housing market in the world after Hong Kong, according to the 2018 Demographia International Housing Affordability Survey. Rankings were based on the ratio of a city’s median housing price to its median income. The NSW capital is a “severely unaffordable market” as median home costs there were 12.9 times the median income.
The construction of the 174 units is part of a program to deliver 640 additional affordable housing unit to the city by mid-2023. “This program is part of the NSW Government’s comprehensive response to tackling housing affordability and complements measures to boost supply, increase stamp duty concessions for first homebuyers and build more infrastructure to support housing,” Minister for Planning and Housing Anthony Roberts said in a statement.
Funds were raised through an affordable housing contribution on 11 developments across Green Square and Pyrmont-Ultimo, the official added.
The latest UBS Real Estate Bubble Index released last year placed the Sydney market under a bubble risk. “Since 1980, the average real annual price rise in Sydney has been 3.5%, the highest among all cities,” the bank said.
