Factory-built modular homes are edging closer to the front line of New South Wales’ housing response, with the first batch of prefabricated units nearing completion in Smithfield and set for delivery in Wollongong. Premier Chris Minns has described the approach as a way to “work smarter and faster” to meet housing needs using land the government already owns.
“Every method counts when it comes to getting homes up quickly,” the Premier posted. “We’re investing in modular builds to cut construction time by up to 20%, while backing around 100 jobs in local manufacturing and construction.”
These modular homes will be placed in the backyards of existing social housing properties—an approach the government argues will maximise the use of available land without delay from large-scale redevelopment.
The initiative comes amid continued pressure on the state to deliver more housing amid rising homelessness, high rents, and criticism of sluggish planning approvals. According to the government, this is “just the beginning” of a wider rollout.
Online responses to the announcement have ranged from optimistic to cautious, reflecting broader concerns about housing policy across the state.
For some, the use of modular homes is a practical and overdue move. “A home is a home when you’re on the street,” wrote Cindy Louise, urging the government to extend the program to the Hunter and Newcastle regions. Shelter NSW welcomed the announcement, calling it “a really good way of showing innovative policy in action.”
Others, like Susan Whalan, pointed out the model’s potential use in disaster response. “There are some still living in tents and caravans after the 2019/2020 fires. They need help too,” she said.
The comparison to temporary school buildings featured in multiple responses, with Mitch Nissen quipping, “The generation that grew up in demountable schooling gets to continue the tradition by buying demountable housing!”
Still, some community members raised deeper questions about delivery. “The house is easy,” wrote Joe O’Donovan, “the red tape is the killer!” Several commenters called for reforms to local government processes, which many see as a bottleneck to faster housing solutions. “Hopeless councils need to be pulled into line,” posted John Dabroski, while David Forbes echoed the sentiment, asking whether a State commissioner might be needed to streamline approvals.
Regional equity also emerged as a concern. “Are rural and regional areas considered in this? By this I mean west of the mountains,” asked Te Lee. Lismore was raised by others, still waiting on post-flood rebuilding efforts.
One commenter, Alese Cencigh, urged the government to not lose sight of issues in the current system: “How about prioritising the repairs of existing social housing?”
Premier Minns’ government has placed housing delivery near the top of its agenda, with promises to simplify planning, boost supply, and balance growth between high-rise developments and more immediate solutions. Modular homes offer the advantage of faster assembly and potentially lower cost, though questions remain about durability, insulation standards, community acceptance, and long-term maintenance.
The idea isn’t new—post-war England saw the rise of prefabricated homes known as “prefabs”, a point not lost on one commenter, who observed that NSW might be “reinventing something from nearly 80 years ago.”
Whether modular housing becomes a central plank of the state’s housing strategy will depend not just on cost and speed, but on how well it’s embraced by councils, communities, and those in need. As Jacqui O’Reilly put it, “Improve accessibility standards so all NSW people can access new builds, and join the rest of Australia with universal access.”
So far, the government appears confident that the modular path offers one answer to a challenge with no easy fix. But execution will matter. As Rod Cox tersely reminded, “Lismore is still waiting.”
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