Housing policy has once again taken centre stage in Australia, with governments at all levels facing mounting pressure to respond to affordability challenges. While schemes such as the expanded Home Guarantee Program are giving more first home buyers access to the market through reduced deposit requirements, industry experts warn these measures risk inflating demand without solving the core issue of limited supply.
The Federal Government’s National Housing Accord, which set an ambitious target of 1.2 million new homes by 2030, is facing questions about feasibility. Current projections suggest completions may fall well short of this target, reflecting the ongoing friction between planning approvals, infrastructure delivery and industry capacity. Local governments, too, are under scrutiny. Councils have been urged to free up land and streamline approval processes, yet many continue to impose strict controls on height, density and lot sizes that make higher-density or family-friendly apartment developments difficult to deliver.
Meanwhile, new regulatory shifts highlight the competing interests at play. Some jurisdictions are exploring requirements for larger apartment sizes to better accommodate families, while others are tightening zoning to protect existing neighbourhood character. These competing priorities underline the complexity of balancing growth, affordability and liveability.Social and affordable housing also remains in the spotlight, with the $10 billion Housing Australia Future Fund intended to help finance much-needed projects. Yet progress is slow, and with rents at record highs, there are calls for urgent action to ensure low-income Australians are not left behind.
The debate now centres on whether government intervention can move beyond short-term assistance and deliver the systemic reform needed. Unless policy settings tackle the fundamental supply constraints in the planning and construction system, the affordability crisis is likely to persist despite well-intentioned measures.