Sydney's soaring house values are driving up the demand for apartments, putting strain on supply and pushing prices higher, property mogul Harry Triguboff says.

Figures released earlier in the week by CoreLogic show that Sydney house prices rose 15.5 per cent in 2016 and jumped a further 2.7 per cent in January. Mr Triguboff, who owns Meriton Group, says the unrelenting climb in Sydney’s house values will lead to higher apartment prices in 2017…