Mickey...I see the problems. You have talked about them for years. Can you show me one or two projects (housing) in AU that are working?? Like here in the US we have both public and private housing projects... Here is a company I own stock in...Entry level housing in the US. Very boring, but makes money!! Century Communities (CCS). https://www.centurycommunities.com So please show me planned project or communities in Australia that are in the planning stages, that you believe will work... Oi Oi Oi...
I'm not a RE guy, I don't take a lot of interest in RE, but my beliefs are that turning housing into big business is a huge political error. My opinion again, government have too much self interest (taxes) to want to change course. It's just easy money, a bit like traffic camera fines. The only planned projects I think will work (and screw the population more) is kit homes, small homes, small blocks of land (postage stamps) where people will raise their kids not in the back yard but in council playgrounds. The way forward from here in Australia, gummint will attempt to build more homes (labor is tight where wages compete against mining and costs are rising) and then when these houses come onto the market are snapped up by more investors who are rocket propelled by tax breaks and outcompete the genuine home buyer, further driving up prices to the satisfaction of gummint.
The kit house seems like the way to go...No easy solutions. If you add solar it could be cost prohibitive (panels and storage). I know this can be a dirty word...But nationalize housing!! No, I am not for it. But it did work in Europe after WWII. The other thought is HUGE taxes on non owner occupied homes... Yeah, I know...None of these are popular. Something I heard years ago (for what it's worth). The more people who have (some) ownership in a house, the less likely the country will go communist. They want to protect their interest...Selfishness. Yeah, I know that is the problem right now, selfishness in the housing market in AU. A great movie to watch (if you haven't seen) I still remember the scenes where they are given less and less space to live... PS I forced my teenage daughter to watch this. Her quote... "You took 3 hours out of my life that I'll never get back"!!!
New research finds Australia's extremely favourable tax treatment of owner-occupied housing is fuelling the problem, encouraging Australians to plough money into housing at the expense of everything else — leaving those without housing even further behind. Property prices are tipped to hit record highs in 2025-26, creating more pain for first home buyers and profit for sellers. Peter Siminski from UTS Sydney and Roger Wilkins from Melbourne University say standard measures of income inequality fail to properly capture what is happening in Australian society. A new paper from the economists considers the untaxed income owner-occupiers get from their homes, via "imputed rent" — the value of living in your own house without paying rent — and capital gains made when the home's value rises. They show that when imputed rent and accrued capital gains are included in the income measure, inequality is higher, and rising more significantly, than official statistics suggest. Widening gulf between renters and owners The research, using Household, Income and Labour Dynamics in Australia (HILDA) data, highlights that while the average annual disposable income of outright home owners in Australia is 34 per cent higher than renters, when housing income is also counted it is 86 per cent higher. The professors say that, since income from investing in owner-occupied housing is tax-free in Australia, while all other investments attract tax, Australians are encouraged to pour money into housing instead of more productive investments. That boosts demand for housing, and lifts housing prices, which makes it harder for younger people to break into home ownership, while widening Australia's wealth divide and making income inequality worse.