The Government has been struggling to deliver affordable housing for a decade.
In 2017, the Bureau of Statistics published a new report on the state of the nation’s housing market.
It found that almost half of Australians now live in houses that are either in serious need of repair or have been abandoned.
That means there is a significant shortfall in housing in Australia.
For many, that’s a cause for concern.
The government’s housing affordability strategy, which was introduced in 2019, has struggled to find a way forward.
As part of the strategy, it set out a target of 15 per cent of Australians being able to afford a home.
But the strategy also set out some pretty tough targets.
There’s a target to provide 20 per cent affordable housing by 2020.
And it said it was trying to achieve the same level of affordability as it achieved in the 1980s.
Now that target hasn’t been met, but the Government is struggling to come up with a plan to address it.
So what will the Government do about affordable housing?
The Government is considering a range of measures, including: A $500 million fund for affordable housing, set up by the Treasurer to help finance a range the Government has identified as key priorities.
A new national strategy to help build affordable homes.
More money for housing developers to improve rental properties.
An overhaul of the way the federal government spends its own money on housing.
We asked Housing Minister Jason Clare to give us a little insight into what might be in store for the affordability target.
“I’d like to see it be 20 per per cent by 2020, I’d like it to be 25 per cent,” he told us.
“And I’d also like it be 30 per cent.
If you look at the data, the majority of houses are now in pretty decent shape.
They’re affordable to a reasonable level.”
What are the Government’s top priorities for affordable homes?
The Government wants to make the housing market more affordable, but some of the measures it has put forward include: More funding for housing development, such as $10 million to $20 million to help developers.
Better access to finance, such the construction of more affordable rental properties, to encourage people to buy.
Increasing the number of units allowed per household, from 2.5 to 3.
Upgrading rental properties to offer more flexibility in living spaces and to give more choices to renters.
Providing better services to help people afford housing.
Mr Clare said he wanted to see the Government invest in housing development as a way to address the affordability crisis.
“It’s important to know that housing affordability is not a one-size-fits-all, we need to have housing that is affordable to all Australians,” he said.
“We’re going to have to do more work to build a stronger, more resilient housing market.”
What will the Federal Government do to make affordable housing affordable?
The Budget includes a new national housing strategy.
Mr Clare wants to see housing developers provide more rental properties in good condition, and the Government wants a new housing policy to help increase the supply of rental properties and the supply to those that can afford them.
He said the Government was also committed to supporting local councils and local housing providers.
“The Government will continue to do all it can to support the creation of affordable housing in the communities where it exists,” he added.
“In fact, our housing affordability strategies are aimed at making sure that affordable housing is available in the local community.”
How are the affordable housing measures in the Budget impacting on house prices?
The government has put money into several measures that would help build the supply and supply to people who can afford to buy homes.
Mr Leigh said some of these measures were likely to impact house prices, but it’s not clear what the impact would be on prices.
House prices have risen dramatically over the last decade.