Thursday 6 July 2023
Housing supply and affordability concerns hit record high in latest ANZ/Property Council Survey
Housing supply and affordability concerns have hit a record high in the latest ANZ/Property Council Survey.
According to the survey, 57 percent of participants listed housing supply and affordability as the most critical issue for New South Wales – an increase of 13 per cent from last year’s results.
Property Council’s NSW Executive Director Katie Stevenson said the challenges facing the sector reflect ongoing concern for housing supply and affordability across the state and throughout Australia. This is reflected in a dip in confidence compared to the last quarter.
“Despite recent positive measures implemented by the new NSW State Government to encourage private developers to increase affordable housing and deliver more market housing, the survey findings reveal a lack of confidence in the responsiveness of the planning system,” Ms Stevenson said.
“Consequently, concerns regarding housing supply and affordability have reached an all-time high up 13 per cent, with the industry considering it the most crucial matter that the NSW Government needs to tackle.
“The introduction of new infrastructure contribution charges, such as the proposed Developer Service Plan Charges by Sydney Water and the recently passed Housing and Productivity Contributions Bill, have further impacted confidence as they are expected to raise the cost of delivering housing and employment land supply.”
Ms Stevenson said the economic outlook for NSW remained highly uncertain.
“An increase in construction insolvencies, elevated interest rates, and ongoing material and labour supply chain shortages are contributing to broader unease in the sector,” she said.
“Greater focus needs to be had on delivering reform that can improve the operational climate if we are to see an improvement in confidence levels in the next quarter.
“Industry is committed to being part of the housing supply and affordability solution and will continue to engage with government to create greater certainty and deliver more positive outcomes in this regard.”
Media contact: Aidan Green | 04910 300 28 | [email protected]