Housing industry insights
Advocacy & policy
News & inspiration
Support & guidance
Member perks
Industry insurance
For your business
Apprentices
Building it right
Managing your business
Managing your safety
Building your business
Other subjects
A rewarding career
Study with us
A job in the industry
Grow with us
Our podcasts
Our initiatives
Get involved
Awards
Awards winners
Industry events
Most popular products
Top categories
For your business
{{propApi.title}}
{{propApi.text}} {{region}} Change location{{propApi.title}}
{{propApi.successMessage}} {{region}} Change location {{propApi.title}}
{{propApi.text}} {{region}} Change location{{propApi.title}}
{{propApi.successMessage}} {{region}} Change locationStop taxing housing harder if you want more homes built, HIA warns
Stop taxing housing harder if you want more homes built, HIA warns
Member and guest login
Enter your email and password to access secured content, members only resources and discount prices.
Did you become a member online? If not, you will need to activate your account to login.
If you are having problems logging in, please call HIA helpdesk on 1300 650 620 during business hours.
Forgotten password
Need some help?
If you are having problems logging in, please call HIA helpdesk on 1300 650 620 during business hours.
If the email address you have entered is registered, you will receive an email with further instructions.
Become part of the HIA community
Enables quick and easy registration for future events or learning and grants access to expert advice and valuable resources.
Create a guest account
Enter your details below and create a login
Send me exclusive tips, early access to new launches, and special offers. I can change my mind at any time.
By clicking Get started now you agree to the terms and conditions and privacy policy.
Releasing HIA’s new report, Taxation of Housing and its Impact on Supply, Tim Reardon, Chief Economist of Housing Industry Association, said governments cannot make homes cheaper by taking more from them.
“You don’t fix a housing shortage by taxing housing harder,” Mr Reardon said.
“And you certainly don’t make homes more affordable by destabilising the tax settings that support new home construction.”
The report finds that housing is already one of the most heavily taxed sectors in the Australian economy, with taxes applied at every stage of the housing lifecycle. Many of these taxes fall most heavily on new housing, directly increasing costs and reducing the feasibility of new projects.
“The political reflex has been the same for decades,” Mr Reardon said.
“First it was to blame investors. Then foreigners. Then foreign investors. Meanwhile governments quietly add more taxes, more charges and more costs to housing, and wonder why supply keeps falling short.”
HIA’s analysis shows that investors play a critical role in housing supply, commencing more than 40 per cent of new homes built in Australia, and an even higher share of apartments and rental housing.
“When you discourage investors, you don’t free up housing, you stop it being built,” Mr Reardon said.
“Investors don’t neatly switch from established homes into new construction when taxes rise. They leave the housing market altogether.”
The report challenges claims that changes to negative gearing or capital gains tax would improve affordability or help first home buyers, noting that housing prices are determined by supply and demand, but housing shortages are only resolved by building more homes.
“New homes don’t exist in isolation,” Mr Reardon said.
“They become established homes. Taxing established housing more heavily reduces the value of new housing as well, which makes fewer projects stack up.”
HIA is urging the Australian Government to provide certainty to the housing market as part of this year’s tax review.
“If governments are serious about increasing housing supply, the first step is simple,” Mr Reardon said.
“Commit to tax system stability for residential investment, rule out changes to negative gearing and capital gains tax, and stop layering new taxes onto new housing construction.
“More homes will only be built if governments stop treating housing as a revenue base and start treating it as essential infrastructure.”
For more information please contact:
New home sales in Victoria remain depressed
“New home sales in Victoria dropped by 23.3 per cent in the September quarter 2026, reversing the hopeful improvement that was underway earlier in the year and returning to their depressed 2023-2024 levels,” stated HIA Executive Director, Keith Ryan.
New home sales slump
“New home sales fell by 17.5 per cent in the September quarter 2026, reversing the recovery that commenced in 2025,” stated HIA Chief Economist, Tim Reardon.
Consultation Draft National Silica-Related Diseases Research Strategy
HIA provided a response to the Consultation Draft National Silica-Related Diseases Research Strategy.
Workers' compensation shake-up puts costs in focus
This week, the Queensland Government introduced legislation into Parliament to reform the state's workers' compensation scheme by specifically addressing the rising impact of psychological injury claims and fraud on the Scheme's long-term financial sustainability.