New land supply may boost housing affordability

Font size :
New land supply - and not stamp duty relief or superannuation - is the key to boosting housing affordability, especially for first home buyers in Australia, according to the building materials sector.
CSR managing director Rob Sindel said the cost of building houses doesn’t increase dramatically year-to-year, but “it is the cost of land that’s gone up”.
CSR is one of Australia’s biggest suppliers of building products to home builders.
"You can mess around with stamp duty and other things, but it is freeing up land that will satisfy affordability," he was quoted as saying in The Sydney Morning Herald.
Sindel added the industry is able to erect more dwellings, but "the natural brake on the system is the planning regime at both council and state level".
He also noted that states like Victoria and Western Australia were able to produce more dwelling constructions thanks to more land supply.
Housing affordability is one of the top concerns of politicians in Australia, and Treasurer Joe Hockey echoes this sentiment.
Hockey said he is amenable to make superannuation more flexible, with the possibility of using super as equity for first home buyers as an option.
New South Wales premier Mike Baird vowed to "supercharge" housing supply in the state by doubling the target of government-owned land releases for housing to 20,000 lots over four years.
Meanwhile, NSW Labor Leader Luke Foley proposed for first home buyers to be allowed to pay stamp duty in instalments over a number of years.

With interest rates at their lowest for more than 50 years, there are some great rates available. The best thing to do is to compare rates from all the lenders. Let us help take the leg work out of doing this - Compare Home Loans now

Mortgage News and Articles

CBA unveils new repayment simulator CBA unveils new repayment simulator

The simulator will show customers the differences between different types of repayments Read more

How to tell when a housing market is cooling How to tell when a housing market is cooling You need to check clearance rates, listings, and the price gap, among other factors ... Read more

Growing demand for green apartments in Sydney Growing demand for green apartments in Sydney Both owner-occupiers and investors favour eco-friendly buildings for their energy-saving features and reduced environmental footprint ... Read more

Are property investors as rich as they appear? Are property investors as rich as they appear? A multi-property portfolio doesn’t guarantee easy millions ... Read more

More mortgage news and articles

Sponsored Links

Tuesday, Sep 26, 2017
Top Featured Rates
Top Bank Rates

Get help choosing the right home loan

Let us help you find the right home loan for your needs.

Tell us a bit about your circumstances:
  • Purpose of mortgage
  • Household Income
  • How much do you want to borrow?
  • How much deposit do you have?
  • How much is your house worth?
  • How much do you still owe on your mortgage?
  • What type of mortgage do you have?

  • How much is your new home?
  • How much do you want to borrow?
  • How soon do you want a mortgage?
  • First name
  • Last name
  • Where do you live?
  • Phone number

Special Offers

Related Keywords