Australian Property Updates

Property Information & Real Estate Updates

The Housing Market is in desperate need of funds injection from government

HIA is urging the Federal Government to budget for an injection of more funds into the Australian housing market to address the under-supply issue

While returning the budget to surplus is obviously a positive policy, it should not be achieved at the cost of cutting or neglecting the urgent need for productive investment in core areas such as Australian housing.

“HIA reiterates that the timing could not be worse to strip any incentives out of the housing market and HIA would be disappointed to see any reduction in what little resourcing there currently is for housing-related portfolios. This year is all but guaranteed to be one of the weakest this decade in terms of new home building and comes at a time when as a nation we face a large and growing housing shortage, high rents, and poor affordability.

“Instead of concentrating on slashing and reaping, this year’s Budget should accelerate reforms, including in housing supply, and in productive investment including in skills and infrastructure. This will not only help ensure Australians have access to life’s essentials including housing, but will help lift Australia’s productivity.”

The HIA, a national industry body, is calling on the federal government to include stimulus measures in tomorrow’s budget to boost the construction of new housing; reaffirm commitment to reforming the supply side of Australia’s housing market; and appoint a minister whose sole responsibility will be to reverse the current housing shortage in Australia.

The government also needs to address the shortage of skilled labour by committing to ongoing substantial investment in skills and training to ensure the projected wave of retirees can be replaced by equally-skilled workers, Mr Dale said