Affordable housing ignored in lead up to election

The Federal Election has failed to address the major issue of New South Wales’s housing shortage according to Chris ford, New South Wales Branch Manager of The Property Club, Australia’s largest independent property group.

Mr. Ford said that providing affordable housing should be a key issue in the election but has been largely ignored by both major political parties.

“In New South Wales, rents have surged over the last three years because of a shortage of houses.

“This shortage of housing is expected to become even worse over the coming years with the Housing Industry Association predicting that there will be an overall shortage of more than 155,700 homes in New South Wales by 20201.

“The shortage of housing is further underlined by the fact that Property Club members in New South Wales are now struggling to find new homes so we can purchase and lease out to tenants. We have hundreds of finance approved members wanting to buy a home in Sydney.

“There are simply not enough homes being built, especially in Sydney, to address our rising population which is now growing nationally at more than 1000 people per day2.

“One solution being offered by The Property Club is an immediate ending of the GST on the construction of new homes in capital cities with a low vacancy rate such as Sydney.

“State Governments could similarly be encouraged to stop stamp duty on the construction of new homes. These measures combined would give a major financial incentive for builders to construct thousands of much needed new homes.

“If a property is sold within five years then the GST and stamp duty become payable – a measure that would stop speculators.

“Boosting the new home building sector would also create new jobs to fill employment losses in the mining sector.

“It is important to remember that eighty thousand tradesmen lost their jobs in the Australian building industry in 2012. This massive job loss could be reversed immediately if these changes are implemented,” he said.

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