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With a target to deliver more than 50,000 new dwellings each year in greater Melbourne, the housing statement must outline a clear plan which enables a seismic difference in the number of new homes being built each year.
Property Council Victorian Executive Director Cath Evans said the statement was a once in a generation opportunity to align housing, planning and building policy toward the efficient delivery of new and affordable homes.
“The worst housing crisis in the state’s history requires bold action. State and local planning is too often adding complexity and cost to new housing, and authorities continue to get in the way after permits have been issued,” Ms Evans said.
“The upcoming housing statement is a chance to wipe the slate clean, and to remove the common blockages to homes, both in established and growth areas, being developed and built.”
Urban Development Institute of Australia Victoria CEO Linda Allison said that Victorians need housing choice – both the locations and the type of housing they wish to live in.
“While the Government is focussed on increasing homes in the middle ring of Melbourne, the sheer volume of homes that needs to be delivered means that supply must be prioritised right across Victoria; in established areas, our newer suburbs and in the regions,” Ms Allison said. “We call on the Government to not neglect supply in our newer suburbs.”
HIA Victorian Executive Director Keith Ryan said there has been a significant drop in new home sales (over 37%), loans for new homes (over 29%) and building approvals for homes (over 16%) over the past year.
“HIA is now forecasting a decade low result in new home commencements in 2024. And this is happening while the need for new homes to be built increases,” Mr Ryan said.
“Home builders want to build homes that people want to live in. The Victorian Government needs to make sure that the housing statement allows the home building industry to build the homes that people want, and not the homes that the government believes they should have.”
Master Builders Victoria CEO Michaela Lihou said the housing statement must address evolving supply constraints and workforce restrictions.
“The Victorian building industry is strong and resilient, but it continues to face a number of prevailing factors that are putting pressure on operators, particularly small businesses,” Ms Lihou said.
“Solving the issues requires a policy-driven approach with a strengthened workforce as a key pillar.
“The Victorian Government’s housing policy presents an important opportunity to set the industry on solid ground, ensuring a pipeline of work for builders across the state and a security for consumers.”
On behalf of our thousands of member organisations across development, building and construction that the four industry associations represent, we look forward to the full details of the housing statement, and seek genuine consultation on effective implementation.
The Housing Industry Association (HIA) has undertaken an assessment of National Cabinet’s 10 point National Planning Reform Blueprint including identifying, and in some cases re-defining, the key planning reform measures needed from the Blueprint to enable the delivery of National Cabinet’s Housing Accord target of building 1.2 million homes over the next 5 years.
“It is nine months since the RBA’s last rate rise and market confidence is returning. It is only the heavily taxed markets of NSW and Victoria that are yet to see a trough in detached home building in 2024,” stated HIA Chief Economist, Tim Reardon
Following the introduction of the engineered stone ban around the country earlier this year, new rules when working with silica products will come into effect from 1 September.
“Detached home building in the nation’s capital is constrained, sitting at record lows, with the current affordability crisis expected to persist for years,” stated HIA Executive Director, Greg Weller.