Wednesday, July 10, 2024

Category: Industry News

Aussie Housing Shift: Embracing Vertical Living In Cities Amidst Challenges

The dream Aussie lifestyle has traditionally been synonymous with owning a home with lots of space. But Australia’s housing crisis is sparking a trend towards vertical living in its cities

Australian homes have long ranked among the most spacious in the world.

Having several bedrooms, a study, and a big backyard for entertaining guests around a barbecue is a common aspiration for most Aussies and one that has historically been easily attainable.

Yet the vision of the Australian dream home is disappearing amid a housing crisis that is forcing developers to build up rather than out.

Not Happy, Jan

The HIA believes that the consequence of these new fees will see investors withdraw from the Australian market

It looks like the industry is not swallowing the federal government’s pill that foreign investment is contributing to the housing crisis.

The Housing Industry Association (HIA) is one of many industry peak bodies and commentators to jump on the announcement made by Treasurer Jim Chalmers regarding the government’s plan to hit up foreign investors as a measure to improve housing supply for Australians.

In response to this proposed new impediment to housing investment, HIA chief economist Tim Reardon said more foreign investors would increase housing supply, not more taxes.

Read the original article at timesnewsgroup.com.au

Foreign Property Investors To Be Hit With Higher Fees

The federal government has announced changes to the foreign investment framework in an effort to boost Australia’s housing stock.

In an effort to boost Australia’s housing stock and provide more homes for Aussies, the Albanese government has announced higher foreign investment fees for housing.

“Higher fees for the purchase of established homes, increased penalties for those that leave properties vacant, and strengthened compliance activity will help ensure foreign investment in residential property is in our national interest,” Treasurer Jim Chalmers said in a statement.

At the same time, he announced the government will cut application fees for foreign investment in build-to-rent projects to support the delivery of more homes across Australia.

Read the original article at www.investordaily.com.au

Australia Faces Three Housing Crises — What Are They?

A new whitepaper finds that interest rates are not the primary driver of the movement in house prices.

The ongoing housing challenges in Australia are comprised of related but separate crises, according to the latest whitepaper from PEXA Research and LongView.

Putting into perspective the drivers of house prices based on decades worth of data, the whitepaper identified three related housing crises currently happening in Australia: purchase affordability, rental affordability, and rental experience.

PEXA CEO Glenn King said containing the analysis of the housing crisis to just supply-demand arguments would only yield simple solutions that, he believes, would not be enough to work.

“What we have sought to do to is forensically analyse Australia’s unique demographic and urbanisation profile to help explain Australia’s upward trend in house prices over so many decades,” he said.

Continue reading the findings of the whitepaper at yourmortgage.com.au.

How Covid turned home ownership into the Great Australian Fever Dream

When Covid hit the Australian property market, house prices skyrocketed, people were priced out of the market, supply chain issues hit construction sites, bankruptcies and insolvencies plagued the building sector, and rather aptly, Australians’ aspirations to own a home became the Great Australian Fever Dream.

As the residential sales market raged red-hot rental vacancy rates plunged to record lows and won’t be letting up soon, and industrial real estate also never shook the superlative “record” – sounding rather like a broken record.

Australia’s rental affordability crisis reaches record low

Rental affordability has reached a record low across the country, with low-income earners the hardest hit when trying to find somewhere to live.

Australians are being hit with unsustainable rent increases, with every capital city nationwide experiencing a decline in rental affordability, according to new data insight.

The annual Rental Affordability Index* released this week revealed the low-income renters such as single parents, pensioners, and job seekers are most vulnerable and require more active and immediate support.

But it seems the rental crisis is impacting almost everyone applying for home.

* The annual rental affordability index (RAI) report is an easy to understand indicator of rental affordability relative to household incomes. It is a crucial tool for policy makers to track rental affordability trends and inform evidence-based policy responses — highlighting nuances between places and the experiences of disadvantaged households.

Download the latest report at the SGS Economics & Planning website: https://www.sgsep.com.au/projects/rental-affordability-index

‘It’s Like Reading Roman History’: The Truth About Australia’s Housing Market

Australia’s housing market is “like reading Roman history” one Reddit user has claimed in a thread bemoaning the fact that some Australian houses have made more money over a 50 year period than their owners.

Entitled, “An interesting anecdote about housing and price booms,” the thread explains how property can accumulate more value just sitting there than its owner can by sweating their backside off for half a century.

Statistics back this theory up. As The Conversation reported last year, “Real home prices across Australia have climbed 150% since 2000, while real wages have climbed by less than a third.”

Melbourne could soon become the cheapest city for renters

…while Canberra remains the most expensive

House rents have hit record highs in every capital city in Australia except Melbourne, Perth and Darwin.

But for the first time on record, Melbourne has become the second-most-affordable capital city in Australia in which to rent a house, equal with Perth and behind Adelaide.

Melbourne could become the most affordable city in the country in which to rent a house and unit this year, if present trends continue.

Read the full article at www.abc.net.au

 

USYD symposium to focus on affordable housing

The inaugural Rothwell Chair Symposium will be held at the Sydney School of Architecture, Design and Planning (SADP) in April, with the conference focussing on social and affordable housing design on a local and international scale.

Curated by SADP and 2021 Pritzker Prize Laureates Anne Lacaton & Jean-Philippe Vassal, the symposium will explore the topic of ‘Living in the city – exemplary social and affordable housing design.’ Lacaton & Vassal will discuss a number of their projects across the three evening sessions, with the symposium featuring Australian architectural firms and researchers, with an emphasis on engaging political, financial and planning contexts.

View original web page at architectureanddesign.com.au

Community Housing Sector Welcomes Low-Cost Funding Option

Community Housing Aotearoa (CHA) is welcoming the arrival of a low-cost funding avenue for community organisations working to provide good homes for New Zealanders.

Chief Executive Scott Figenshow says Community Finance will be a valuable addition to the range of funding options for community housing providers looking for capital to build homes.

“Access to capital and land are ongoing challenges for community housing providers so we are really glad to see the arrival of a company with strong connections in the sector and a commitment to the ethics and principles underpinning community housing,” he says.

Read the full article here.

Source: Scoop