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{{propApi.successMessage}} {{region}} Change locationHuge task ahead to achieve 30,000 homes by 2030
Huge task ahead to achieve 30,000 homes by 2030
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“Achieving the 30,000 by 2030 target requires an average build rate of 5,000 new homes per year, but the latest approvals data shows there were only 2,248 new dwellings approved over the last 12 months.
“The latest ABS figures show that detached house approvals in May posted the strongest monthly result in over a year, however the number is still remarkably soft when benchmarked against recent history.
“Approvals of multi-unit dwellings over the three months to May are down by 3 per cent compared to the same period a year ago, and approvals over the last twelve months are down by around 58 per cent. Multi-unit approvals are volatile on a month-by-month basis, but there are few signs of improvement.
“The ACT’s housing supply strategy now relies far more on a healthy supply of apartments than lower density housing types but achieving the 30,000 new home targets will need all segments of the new home market to lift.
“Home building in the ACT has reached a level over 5,000 homes per annum in the past, but not sustainably and certainly not for five years straight.
“A simple fact remains that the residential building industry is operating in a very challenging economic, business, and regulatory environment. Until such time that the trading environment improves, it seems implausible home building activity will reach the level needed to achieve this target.
“Having an aspirational target for housing supply is a step in the right direction but we now need to see policy makers taking the steps that will enable it to happen. Working towards achieving the target is the only way we will be able to put sustained downward pressure on housing costs and see real improvements in affordability,” concluded Mr Murray.
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