Wollongong building approvals up, but construction squeeze ahead
Wollongong had 493 home approvals in the past year, but builders warn costs and interest rates will squeeze development ahead.
Building approvals in the Illawarra have risen for a fourth consecutive year. In the past year to August, 493 new homes were approved.
Builders report the market is quiet and say approvals don't match real work on the ground. Rising interest rates and lower borrowing power mean people lack confidence, says Illawarra builder Keiron Moore.
Many approved projects are delayed or abandoned when buyers can't afford costs or get finance. Experts warn construction costs will rise further due to Middle East conflicts affecting materials, fuel and tradies' prices.
Interest rate hikes next year will cut buyer purchasing power. The result will be a squeeze over the next 12 to 18 months as developers pull back and buyers become more cautious.
- 493 in year to August
- New homes approved
- Fourth
- Consecutive years rising
- Up 24 per cent
- Surge in 2026
- Keiron Moore, CKS Projects, Unanderra
- Builder
Why it mattersHousing supply in the region faces pressure from cost inflation and tighter borrowing, likely to slow construction despite rising approvals.
AustraliaAustralians looking to build or buy in the Illawarra face tighter financing, higher material costs, and longer delays as developers slow their projects.
✓ Claims checked against the source. checked 2 h ago
Open this story in InSnip →
