The 27-year-old was charged with shooting with intent to cause grievous bodily harm, common assault, and traffic offences after two homes were shot and damaged overnight.
He was detained by officers moments after his Mitsubishi Pajero collided with a white 4WD, reported a New South Wales police statement.
Police believe the shooting on Kirk Street at South Granville is linked to another similar incident at the same location on Dec. 24.
Shots were fired from a vehicle at a South Granville home on Tuesday evening, damaging the house and a vehicle outside while two men inside the property at the time were uninjured, police reports say.
A blue Audi witnessed leaving the scene was later found on fire close-by.
Later in the evening, a house in Guildford was shot and damaged while a man, woman, and three children inside at the time were not injured.
Police were called to another location in South Granville where two men were fighting after a collision between two cars.
The 27-year-old man was arrested nearby and refused bail to appear at Parramatta Local Court on Wednesday.
Anyone in the area at the time with dashcam footage is urged to contact police.
By Greta Stonehouse. The Epoch Times contributed to this report.