A report released last month shows that over 30% of the nations worsening housing shortage is in Brisbane.
The National Housing Supply Council established in 2008 by the Treasurer and Minister for Housing to monitor housing demand, supply and affordability in Australia has recently released its 2nd State of Supply Report 2010.
The Council has found that
- Underlying demand has continued to grow since the last report (by more than 200,000 households) and is projected to increase further by 2029 (by 3.2 million households to 11.8 million);
- Supply is not responding to this increase in demand (and that the impact of the global financial crisis on residential development in 2008-09 is likely to reduce dwelling completions in the next few years);
- State and territory data on future infill and greenfield supply may be higher than actual delivery of lots (contributing to a larger gap);
- The gap between demand and supply has continued to increase ) and will continue to increase without any changes to demand and/or supply;
HIA Chief Executive, Association, Graham Wolfe, said that the Council’s projections were close to those recently developed by the HIA and that these numbers should represent a call to action for all levels of government.
“The Council suggests that underlying demand for dwellings is over 180,000 each year and that while Australia has the land to potentially develop close to this level (176,000 dwellings), planning delays and restrictions and developer charges make such an outcome highly unlikely,” said Graham Wolfe.
“The housing supply issue includes a diverse range of issues including land supply, council approval processes, labour and capital availability, and taxation. Improving upon current outcomes requires an all-of-government approach.
The report has found that the gap between total underlying demand and total supply is estimated to have increased by approximately 78,800 dwellings in the year to June 2009 to a cumulative shortfall of 178,400 dwellings. (The gap in Queensland is 56,100.)
This is significantly above the increased gap of 23,000 projected in the State of Supply Report 008 and is explained by a greater number of households (driven primarily by higher than expected net migration).
Over the five years to 2014, the overall gap is projected to grow by a further 129,600 to 308,000 dwellings.
You will find the full report at: http://www.nhsc.org.au/state_of_supply/2009_ssr_rpt/default.htm