Urbis Director and Housing expert, Mark Dawson, has flagged the following key takeaways from the announcement.
New homes target: introduction of a new higher target to deliver 1.2m well located homes over 5 years from 1 July 2024.
$3B in performance-based funding: there will be a New Homes Bonus for states and territories achieving more than their share of the 1 million well located homes target. This can be used to connect essential services/amenities to support new housing.
National Planning Reform Blueprint: changes to planning, zoning and land release along with other measures to improve housing supply and affordability and promote well located medium-high density housing.
A better deal for renters: movement towards nationally consistent policy to strengthen renter rights across Australia, including reasonable grounds for eviction, moving towards limiting to one rental increase per year and phasing in minimum standards.
Social Housing Accelerator: endorsing initial state and territory implementation plans.
What does this mean for the market?
- New incentives to increase housing supply
Policy makers are moving forward by focusing on supply. Using a number of levers, such as increasing the targets and funding to reflect growing urgency for housing reform. Government is streamlining policy to remove blockages in implementation, including Planning.
- Strengthening of renters’ rights
Another key element of the announcement was the strengthening of renters’ rights, However, there was a refrain from introducing rent caps that could deter investment in large scale rental supply.
How can we help?
For further information about the policy developments and how they may affect your current or future investments and developments, please get in touch with one of our team members.