Homebuyers to pay up to $110k more for new build under garage size changes, developers say
SA developers have warned small changes to the size of new garages could have a big impact on housing affordability.
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Rules requiring bigger garages on homes across South Australia would see homebuyers pay $60k to $110k more for a new build, according to fresh modelling.
South Australian councils last month agreed to push for changes to the Planning Code that would see new single-car garages and carports measure at least 6m by 3.5m.
The current minimum size is 5.4m by 3m, but Urban Development Institute SA chief executive Liam Golding said the jump would “make building a home even more cost-prohibitive” and would not ease on-street parking congestion as intended.
“Where there is a local problem, there should be a local solution, and existing powers that councils can utilise to manage parking issues should be exercised,” Mr Golding said.
“Larger garage dimensions will simply mean more space for storage and fitness equipment in
garages while on street parking continues.”
The price modelling assumed an increase in land size, while factoring in extra building costs, land rates, and interest rates for a 30-year mortgage with a 20 to 30 per cent deposit.
The $60k average bump applies to single-storey houses in growth corridors, and the $110k figure to double-storey houses in infill areas.
The state government has not revealed if it will change the law per councils’ wishes, but Mr Golding noted that in June, South Australia froze changes to the National Construction Code for the next decade.
“Changing garage dimensions goes against this principle and the local government sector should not be calling for actions in conflict with state government policy to ease pressure on housing affordability,” he said.
However, Local Government Association SA chief executive Clinton Jury said developers should “embrace smarter designs, improve efficiency, and rethink how we build to create communities that people want to call home”.
“Councils use measures like time limits, residential zones and no parking areas to manage street congestion, but that’s not a long-term solution for every street as our population increases,” he said.
“It’s been more than 30 years since the standards for garages were changed in South Australia and cars are now much bigger. We need to move with the times and introduce minimum garage dimensions that meet modern demands.”
Kensington retiree Leanne Jones, 63, said the size of her single-car garage had stopped her upgrading her sedan to an SUV.
She also believed that bigger garages might improve the resell value of new homes.
“When you go on the road, it seems like a lot of people are buying either smaller SUVs or bigger SUVs,” she said.
Housing and Urban Development Minister Nick Champion said councils were responsible for managing on-street parking but did not clarify the government’s position.
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Originally published as Homebuyers to pay up to $110k more for new build under garage size changes, developers say