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{{propApi.successMessage}} {{region}} Change locationImportant boost to support more social and affordable housing
Important boost to support more social and affordable housing
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“The investment in 40,000 social and affordable homes is recognition that Australia’s shortfall in housing supply is contributing to increased rental costs and reduced options for those most in need within our community,” HIA Managing Director, Jocelyn Martin said today.
“The investment mandate should particularly support more housing in regional, rural and remote areas of Australia.
“For homes to be delivered in regional areas, it is also important to ensure that the system of funding works to enable smaller community providers and the regional construction industry to be eligible to receive it, rather than just larger institutional investors.
“The provision of social housing is often most needed in areas where the financial returns are not always realistic. The application process needs to ensure that ‘special purpose vehicles’ set up to apply for funding in remote and regional areas are not disadvantaged by bureaucratic processes that increase costs and extend time frames,” said Ms Martin.
“Whilst this investment should see a boost in social and community housing, it is critical to recognise the Australian Government’s target to build 1.2 million homes over five years from 1 July this year will largely be dependent on the delivery of private housing.
“It is the adequate supply of all homes across the housing continuum which will have the biggest impact on the cost of housing and rental availability. Holding all levels of government to account for improving planning regimes, supporting the development of appropriate infrastructure and a skilled construction workforce must be a priority this year.
“In 2024 Australia’s residential construction industry is hoping to be able to operate in an environment with a positive approach to reducing red tape, a willingness to understand the risks and timeframes our builders work with and a recognition of the contribution a vibrant and strong residential construction industry can make towards the much needed supply of new homes,” concluded Ms Martin.
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Signs of a pulse in Canberra building approvals
Building approvals for dwellings in Canberra for the year to the end of March have shown some signs that the market may be turning the corner but still remain well below government targets.
Low volume of home building but labour shortages linger
“Australia has just seen its two weakest years of new home commencements in over a decade, meaning these ongoing shortages of skilled trades are not being caused by home building activity,” stated HIA Chief Economist, Tim Reardon.
Building approvals strengthen in March quarter
“There were 48,620 new homes approved for construction in the first quarter of 2025, up by 20.8 per cent on a year earlier,” stated HIA Senior Economist Tom Devitt.
New Government must put housing as first order of business
“The Housing Industry Association (HIA) calls on the newly elected Federal Government to make housing a first-order priority from day one, any delay or political grandstanding will only deepen the nation’s housing crisis,” HIA Managing Director Jocelyn Martin said today.