CoreLogic’s analysis of housing data from the recently released 2016 census identified a surge in housing stock between 2011 and 2016. Moreover, during the interim between the collection periods, CoreLogic noted a shift towards denser housing stock in the capital cities.  

“Interestingly, while driving around inner city areas, you would be led to believe that it is higher density units which have been most abundant in new supply, [however] the data points to medium density supply having ramped up the most,” said Cameron Kusher, head of research at CoreLogic.

Medium density housing types recorded the greatest increase in stock between the census collection periods in the following capitals: Sydney (17.9%), Melbourne (61%), Brisbane (29.6%), Adelaide (46.5%), Perth (49.4%), and Canberra (36.9%).  

“In each of these cities, except for Adelaide and Perth, separate house stock saw the smallest increase of the three housing types over the five years,” Kusher said.

When the proportion of total housing stock by type (based on the census data and across each capital city) is examined, separate houses remain the dominant property type. However, the proportion of separate houses has declined over the recent census periods.

The data indicates that in most capitals, medium and high density housing remain a relatively small but increasing proportion of the overall housing mix.

“Ten years ago in Sydney, 61.7% of housing stock was separate houses, and in the latest Census 55.7% of housing stock was separate houses. If this trajectory continues, by the 2026 Census less than half of Sydney’s housing stock will be separate houses,” Kusher said.  

With "ongoing under investment" in Sydney’s infrastructure, many residents will want to live closer to the city centre. However, the supply of land in these areas is limited.

“This is leading to increasing levels of medium and higher density dwelling construction and premiums for detached housing located close to the city centres,” Kusher said. “Although approvals for these types of properties [have] slowed recently, it is anticipated that construction of medium and high density dwellings will remain elevated relative to historic levels.”

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