It is a marketing piece.
Forty years of challenges, and every one happens to have been solved by measures recently legislated by this Federal Government? That is not proper predictive modelling.
🏘️The biggest pressure young Australians feel is the lack of economic security, manifest in the experience of buying or renting a home. Both get headlines instead of a delivery path.
The phrase “housing supply” appears 5 times across 352 pages, and never with a proper target or solution attached. The best I can find is the still unfounded claim that “reforms to negative gearing and capital gains tax will support an additional 75,000 owner occupiers over the next decade.”
Whilst the report speaks to generational equity, recent tax changes will only make it harder to accumulate wealth. The wealth gap will actually widen as after-tax returns fall across investment housing, shares, trusts and super together.
#housingaffordability is falling faster than prices, because rates are rising faster than values are dropping, leaving would-be buyers worse off as they pay the rent.
Those who bought recently under the 5% deposit scheme are being tipped into negative equity: a fivefold jump in a month, with 30,000 more at risk.
Meanwhile, on new #housingsupply, approvals may be up 26% from pre #housingaccord levels, a conveniently selected low point, yet only 308,000 homes were completed in seven quarters.
Just 173,400 dwellings were finished in the year to March, against the 240,000 a year that #housingaccord target demands.
New housing is not getting cheaper to create – the opposite. And the answer is not making #feasibility worse by tightening new supply into (government-caused) inflation the RBA is already fighting.
🤔My take: The IGR is a document written to defend recent policy, not a real plan for the next generation.
⛔ Fewer homes will get built on every measure the report prints ⛔ Younger buyers lose the bank of mum and dad deposit channel ⛔ More builders will fail as projects stall and finance disappears ⛔ Record numbers of dwellings will sit approved and unbuilt ⛔ Fewer opportunities for younger generations to build their own wealth independently
Politicians have spent the last three years saying #housingsupply is the answer. Now it seems we are hoping for an AI Hail Mary to save the day?