Australia’s housing crisis requires immediate and coordinated action from all levels of government, according to industry experts.
Housing Industry Association (HIA) Managing Director Jocelyn Martin said the current housing crisis has developed over more than two decades and cannot be resolved quickly or by any single government.
“Today’s housing crisis has developed over more than 20 years and accelerated through the pandemic,” Ms Martin said.
“It cannot be resolved by any single government or within one term, but there is much that can be commenced.”
She said there is considerable inequity in the current system, noting that the burden of funding various government initiatives falls disproportionately on new homebuyers.
“Up to 50 per cent of the price that a consumer pays for a new house and land package is taxes, fees, charges and unnecessary costs imposed by governments,” she said.
“If you tax it, you will get less of it.”
Ms Martin said there are a number of urgent steps that need to be taken.
“Focus on increasing housing supply across the housing continuum, rather than focusing on one housing segment,” she said.
“Include ‘housing affordability’ as a guiding principle for every state and federal government department developing housing-related policies.”
Ms Martin also called for increased investment in public housing and infrastructure.
“Fund public housing equitably and increase public housing investment beyond election cycles,” she said.
She said there is a clear need for a coordinated approach.
“Addressing the housing crisis requires leadership and coordination from the Housing Minister, Treasurer, Finance Minister, Skills Minister, Immigration Minister, Industry Minister, and all tiers of government,” she said.
Ms Martin called for a shift in how housing-related taxes are approached.
“We need to rethink how revenue is raised, redefine the role of local councils, and shift away from expecting taxes on new housing supply to fund broader public needs,” she said.
