Housing Affordability in Australia : a Supply-Side Analysis : Discussion Paper

Significant supply-side reform is needed to address declining housing affordability. In order to address both underlying demand and place downward pressure on new house prices, substantial reform of the entire land and housing supply process, and a greater understanding of the critical role of supply in housing affordability, is required at all levels of government. The following key recommendations are made: (1) Address the impact of infrastructure charges on new house prices ; (2) Address the artificial inflation of developable land prices ; (3) Planning and development approval systems to be made more responsive, with reductions in delays, uncertainties and inconsistencies ; (4) Planning and design requirements to be made with a greater understanding of their economic impacts ; and (5) Reductions in the centralisation of the land and housing supply process.