Australia’s housing issues in the spotlight
“Fundamentally, the problem is that we’re not building enough homes,” Mr Leigh, the Assistant Minister for Competition, Charities and Treasury, told Q+A.
It’s clear that Australia requires millions more homes to meet current demand but also accommodate future population growth.
However, as it stands, governments are finding it challenging to meet their own targets.
The debate, and followed up by The Sydney Morning Herald article Do planning rules really affect house prices? The answer is clear, has cast a spotlight on a host of interconnected factors contributing to this issue.
At the heart of the matter are planning and zoning rules, which, contrary to some beliefs, significantly influence housing prices and supply. This is a contentious point, highlighted by the disagreement between Max Chandler-Mather, Greens Spokesperson on Housing & Homelessness, and Dan McKenna, CEO of Nightingale Housing, pointing to a deeper complexity within the debate.
While Shadow Assistant Minister for Home Ownership, Senator Andrew Bragg’s remarks on construction industry, skills shortage and migration underscores the multifaceted approach needed to address the crisis.
This crisis reflects broader societal issues—including a shortage in construction and trades to debates on policy, immigration, and infrastructure development.
The challenges extend to financial mechanisms of owning a home, with strategies like tapping into superannuation funds or adopting shared equity schemes considered as possible solutions (which have their own implications).