More than 40 per cent of the new dwellings built in New South Wales recently have been apartments, which tend to be more attractive to investors. https://www.rba.gov.au/speeches/2019/sp-gov-2019-03-06.html  8/18  3/7/2019  The Housing Market and the Economy | Speeches | RBA  Graph 8  The strong demand from investors had its roots in the population dynamics.
Low interest rates and favourable tax treatment added to the attraction of investing in an appreciating asset. The positive side to this was that the strong demand by investors helped underpin the extra construction activity needed to house the growing population.