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{{propApi.successMessage}} {{region}} Change locationPopulation growth outstrips housing supply
Population growth outstrips housing supply
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Above-trend population growth remains driven by elevated net overseas migration.
Net overseas migration (NOM) was 26.3 per cent higher over the 2023 calendar year. The rate of migration did however slow in the December quarter 2023.
This still leaves the estimated resident population around 25,000 people below its pre-pandemic trajectory. This is based on the rate of growth from the decade to 2020.
“The building industry has consistently argued for stable and reliable population growth. The boom/bust cycles in migration seen over the pandemic period leads to undesirable economic, social and business outcomes,” said HIA Chief Economist, Tim Reardon.
“As the main determinant of population growth, the fluctuating nature of NOM has a crucial impact on workforce participation numbers, national skills capacity, productivity and overall economic output,” added Mr Reardon.
“HIA supports a managed migration program that delivers adequate skilled migrants in construction and building professions and trades to meet Australia’s ongoing housing needs.
“HIA estimates that Australia’s future underlying housing demand sits above 200,000 homes per year. Unfortunately, only 172,725 dwellings were completed in the calendar year 2023, This will add to rental and house price pressures.
“The stark demand/supply imbalance in new home building requires significant and swift policy action from all levels of government.
“Up to 50 per cent of a new house and land package is taxes, fees and charges. Reducing these costs is necessary to delivery more homes,” concluded Mr Reardon.
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EIE – Standard and model conditions of consent
HIA commented on the Explanation of Intended Effect for Standard and model conditions of consent (the EIE). It is understood the EIE explains the proposed amendments to State Environmental Planning Policy 2021 that will give effect to consistent conditions of consent for residential development across the state.
Tasmanian home approvals lift, but still short of what’s needed
Home building approvals in Tasmania have climbed over the past year, though the numbers remain well below the level needed to meet demand.
Solid apartment approvals fail to reverse housing slowdown in ACT
The latest building approvals data shows the ACT residential building market remains subdued, with detached housing continuing to struggle and the momentum that emerged in the apartment market during 2025 now showing signs of fading.
Detached house approvals 7 per cent higher in 2025/26
“Building approvals for new houses in the month of June 2026 increased to its highest level since August 2021,” stated HIA Chief Economist Tim Reardon