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HIA has helped our members through some of the toughest challenges the Victorian residential building industry has ever faced.
Delays and rising costs remain the most significant issues for residential building businesses in 2022 as the industry works through the biggest detached home building boom on record.
COVID-19 and changing workplace arrangements have shifted the housing landscape. Home owners want more living space with greater amenity as a result of all the extra time spent locked down and working from home. This shift is continuing to support levels of new home and renovation demand usually only seen during periods of direct stimulus – over a year after the end of HomeBuilder.
An incoming state government needs to maintain a focus on home building. It is the backbone of the Victorian economy with almost 300,000 people engaged in construction jobs. Policies need to be focused on keeping the residential building sector strong and allowing Victorians the opportunity to achieve home ownership.
Victoria has experienced a marked deterioration in housing affordability over recent years. Improving housing affordability should be central to the incoming government’s decision-making over the next term. Improving affordability is based on growing land and housing supply and limiting additional taxes and red tape that add to the upfront cost of new homes.
Our industry helps tens of thousands of Victorians each year achieve their dream of home ownership and making their home the place they want to live.
HIA’s election imperatives set out our call to an incoming government to adopt policies that support new housing supply across all segments of the housing continuum. Housing supply underpins housing affordability and improving affordability will ensure all Victorians can have a place they can call home.
Record low interest rates and generous support for home buyers culminated in exceptionally strong demand for residential building in 2021. So strong was this demand that it has tested the limits of the industry’s capacity. By the end of 2021 there was a record number of new detached houses under construction in Victoria. Read more
Work with industry to develop a strategy to reverse declining rates of home ownership.
Provide clearer and more specific government oversight of the residential building industry by appointing a Minister for Home Building.
Better monitor and manage land supply shortages to ensure a strong and stable supply for new housing.
Implement meaningful planning reform that will reduce time frames for permits and associated costs for homebuyers.
Reduce the overall tax burden on new housing, including stamp duty, paid by Victorians.
Support trade training with flexible pathways and continue to fund industry training bodies to provide relevant, industry-focused trade qualifications.
Modernise the Domestic Building Contracts Act 1995 to be relevant and appropriate for builders and consumers. Abolish Domestic Building Dispute Resolution Victoria (DBDRV) so disputes can be resolved in a fair and fast manner.
Support small business contractors in the housing industry. Repeal requirements for both the registration of trade contractors who work solely for builders and the licensing of trades who are employees.
Support builders and consumers to implement the significant updates to the National Construction Code with appropriate transition periods and training.
Grow the supply of social housing, including crisis shelter, public housing and affordable housing for low-income earners, through direct investment and partnerships with industry.
Home ownership is the bricks and mortar that has helped Australia build a stable and vibrant society.
As the opportunity to own a home in Australia becomes more challenging, and the type of home many families aspire to is changing shape, evidence shows that an overwhelming majority of Australians agree: home ownership matters.
Throughout an individual’s life their housing requirements change, affecting the type of house they seek. Housing affordability is improved as a consequence of an adequate housing supply at an appropriate price for each cohort of the housing continuum.
Access to safe, affordable and well maintained housing, whether owned, rented or supported, is something all Victorians deserve.
Delivering new homes to provide quality and affordable shelter for all is the fundamental driver for the housing industry in Victoria.
The economic multiplier effect for Victoria that residential building creates through construction jobs, off site management and administration, the manufacture and supply of building materials, professional services and retail activity, is well understood.
It is critical that Victorian leaders understand the opportunity that exists in supporting residential building over the next term of government and commit to policies that promote both new housing demand and new housing supply to meet that demand.
An incoming state government needs to maintain a focus on home building.
Fiona Nield
Executive Director, HIA Victoria
✆ 03 9280 8200
✉ f.nield@hia.com.au
#housingvictorians #housingaffordability
Authorised by Fiona Nield of the Housing Industry Association Limited, 584 Swan Street, Burnley Victoria.