Residential apartment developments are now at record levels in Australia, with the industry seeing a surge in sales during the Christmas period.
The Residential Apartment (RAP) Association (RA) today released its monthly Residential Sales Report, which shows sales increased 1.4 per cent in July, with apartment sales jumping to an all-time high of 4.2 million units, up 15 per cent year-on-year.
Sales in Melbourne, Brisbane, Sydney, Perth and Adelaide all hit record levels.
But there was a notable drop in the number of residential apartments sold in Perth, which fell to just 0.7 per cent of all apartments sold.
The biggest jump in sales came in the Perth suburb of Glenelg, which saw sales jump 6.1 per cent.
“The growth in sales and occupancy of residential properties has been tremendous this year,” said John Hogg, executive director of the RA.
“We’re seeing residential sales grow by 10-20 per cent, up from 5.5 per cent the year before.”
Mr Hogg said the growth in the industry was driven by the introduction of the RAPs new, higher occupancy occupancy occupancy (HOO) program, which includes higher occupancy apartments.
“We are seeing the first occupancy units in many apartments being delivered to our clients this Christmas, and our occupancy rates are now the highest they’ve ever been,” he said.
The RA also released its quarterly Residential Sales Index (RSSI), which showed residential sales in August were up 0.5 points, up 0% from July.
The index shows residential apartment sales are up 2.4 percentage points year-to-year, which is up from a 1.3 point gain in July.
“It’s really exciting for the industry and I think we’re seeing the beginning of a new era of occupancy,” Mr Hogg added.
“With occupancy rates up and the arrival of occupancy units, we’re hoping this will create some real growth for the sector.”