Housing Supply and Affordability concerns reach fever pitch in latest ANZ survey

The need for the NSW State Government to urgently address housing supply and affordability has surged even further ahead as the most critical issue of the latest ANZ/Property Council Survey.

Almost four in ten respondents identified housing supply and affordability as their crunch issue, followed by reforming property taxes (18 per cent) and planning reform (16 per cent).

Property Council’s NSW Executive Director Luke Achterstraat said housing supply had been top issue for some time, but the surge in respondents citing it as critical was evidence that government cannot wait any longer to act.

“The housing supply gap is only widening. We are some 100,000 homes short of where need to be and last year just under 30,000 new homes were completed when 42,000 were required according to the government’s own data,” Mr Achterstraat said.

“It is little wonder the number of respondents who see the issue as critical has risen from 27 per cent to almost 36 per cent in the last 9 months – affordability concerns have truly gone from amber to red.

“With a state election now less than 12 months away, it is crucial the NSW Government delivers on commitments to reform the planning system, build enabling infrastructure and provide development ready land.”

The ANZ survey also revealed that almost 80 per cent of respondents expected interest rates to lift in the next 12 months.

“Whilst rising rates are likely to have an impact on house price growth, it is critical to remember that driving new and diverse supply remains the most critical lever state governments have around the country,” Mr Achterstraat said.

Mr Achterstraat said the NSW Government needed to work closely with local government to provide greater transparency and accountability.

“With only 1 in 35 local councils in greater Sydney on track to meet their housing supply targets, it is little surprise that housing supply has stormed ahead as the dominant issue of the day,” he said.

To access the full chartbook and to find out more about the ANZ/Property Council Survey and our Supporting Sponsor, RCP: https://research.propertycouncil.com.au/research-and-data/anz-property-council-survey

Media contact: Aidan Green | E [email protected]