Some $500 million will go towards releasing land and building the necessary infrastructure in new developments as the NSW government makes an ambitious bid to address housing affordability.
Premier Dominic Perrottet is making a concerted bid to address a housing shortage in Tuesday's budget.
The premier says he is committed to addressing affordability and infrastructure issues around housing and has committed $300 million towards building council infrastructure including roads, sewers, power and parks.
"This is about getting keys in doors with this commitment supercharging housing supply to help people across the state get one step closer to home ownership," the premier said on Monday.
"Being able to buy a home has a huge impact on where people choose to live, work and raise a family.
"This investment will help give people more choice and deliver a brighter future for NSW families," he said.
The budget spend comes a day after he announced a $780.4 million shared equity housing scheme for frontline workers, single parents and single people over 50, who often struggle to buy a home.
Steve Mann, CEO of Urban Development Institute of Australia says the move will "unblock significant development ready land and support the supply of greenfield homes over the next few years".
"Now, with significant funding provided to the NSW Department of Planning to accelerate rezonings and approvals, we need to see results quickly, with dwelling approvals down 24 per cent from the supply peak," Mr Mann said.
Planning and Homes Minister Anthony Roberts said a key recommendation of the Regional Housing Taskforce was to address a lack of infrastructure across regional communities.
"This investment will help regional NSW keep up with current and future demand," Mr Roberts said.
"It's important that industry receives the certainty they need to deliver housing supply for our growing population both in Sydney and in our regions."
Treasurer Matt Kean says he anticipates "hundreds of thousands of homes will be delivered sooner, through faster state and local rezonings and approvals".
The government has also announced a further $9 million for Fire and Rescue NSW to provide 16 new tankers to the ageing fleet in response to the Bushfire Inquiry recommendations, taking the total invested to $80 million.
The government also announced another $38 million to create electric vehicle charging points on kerbsides and in apartment buildings.
