Policy reform key to restarting Perth's stalled apartment pipeline
"If your New Year's resolution is to buy a new apartment, you may need to think again."
This is the message from the Property Council of Australia, following the publication of a new report, Delivering Housing Supply and Affordability for Western Australians, which estimates more than 10,000 new apartments have been put on hold due to ongoing skills shortages.
"Swift action is required to avert a future housing and affordability crisis," says Property Council WA Executive Director, Sandra Brewer.
"Shutting our borders was necessary but switching off population growth – one of Australia's biggest economic engines – has come at a cost.
"We have seen housing affordability erode over the last 12 months. The median house price within 10 kilometres of Perth's CBD is now more than $1 million, and the average Perth household must save for an extra two years to cover the price escalation.
The Property Council's report recommends policy responses that prioritise population growth, address labour shortages, remove barriers to investment and develop alternative housing models.
"There are opportunities for government to better support general market affordability through the uncertainty, with measures such as tax reform and apprentice guarantees.
"This is why the decision to expand the portfolio responsibilities of Minister for Housing and Local Government John Carey to include lands and homelessness is an important one. We now have an unmissable opportunity to tackle housing affordability holistically.
"We look forward to working with Minister Carey in 2022 to develop comprehensive policies that attract skilled migrants to help us expand the pipeline of homes and shift the dial on housing affordability," Ms Brewer concludes.
Media contact: Emily Young | P 0475 161 328 | E [email protected]