The Bankwest Housing Density Report found that during the past 12 months, 87% of all medium density dwelling approvals across Australia were in capital cities, with only 13% of the national total in regional areas - a considerable jump up from 69% in 2007.
The lender says this is likely a reflection of the large increases in the volume of medium density approvals seen in Melbourne and Sydney over this period.
Inner city areas, unsurprisingly, face the highest demand for medium density housing. Since 2007, 97% of housing approvals in inner Melbourne were for homes in this category. Figures for inner Sydney and inner Brisbane follow closely behind at 95%.
“The convenience of an inner city lifestyle is driving demand for medium density housing in centralised areas. Young city professionals are shunning the traditional homeowner dream in favour of lower overheads and a shorter commute to work.”