Is Australia’s housing crisis self-inflicted?

If so, then we need a series of reforms to reverse it

The best long-term solution to the structural problems of the rental crisis is to build more public and/or affordable housing.

Reform incentives that give more advantages to investors over owner-occupiers.

Reform on “no cause” evictions, where landlords can kick tenants out for no reason and make it within reason.

Make renting more Sustainable! Increase rent assistance or look at rental caps, similar to countries in Europe and some US states, long term tenancy agreements with incentives for all parties to the agreement.

The list goes on and we plan to have some robust conversations within this group that focus on solutions rather than the cause!

In Kindness

Allan 'Big Al' Connolly
Founder - Kommuniti HQ
Managing Director - The Whealth Group
Co-Chair - WA Alliance to End Homelessness,
and Lived Experience of Homelessness Expert
M: +61 411 468 337
W: bigalconnolly.org
E: admin@bigalconnolly.org
LI: linkedin.com/in/bigalconnolly  

The Build to Rent property sector is growing in Australia – this new class of housing is focused on providing high quality purpose designed and built rental stock, creating an additional housing choice for Australian renters with greater security and service.

Build to Rent developments are typically owned by institutional investors for the long term and the owner could be the developer/ongoing building manager. The format provides tenants with the flexibility of renting with the security of home ownership.

Identified as a growth sector, Mirvac has invested in four BTR projects which will all be managed by their newly created LIV platform, this Lean In provides the Institute members with an opportunity to understand the business model, but also the critical aspects of design which respond to this growth sector.

Build-to-Rent developments are usually large-scale residential properties specifically designed, built and managed for long-term ownership and rental.

Build-to-Rent developments generate long-term rental income for developers, rather than up-front sales or capital growth, driving an increased focus on residential tenants. The developments target the growing renter market seeking secure, long-term rentals.

Build-to-Rent provides an opportunity for government to partner with the private sector to deliver discount-to-market affordable rental homes which can help workers find a home closer to their job.

Depending on the building categories, there are major five types of construction buildings in Australia. Buildings can be classified into five different types of construction - fire-resistive, non-combustible, ordinary, heavy timber, and wood-framed.

Modern methods of construction include

• 3D volumetric construction. ...
• Flat slabs. ...
• Timber frames. ...
• Precast panels. ...
• Concrete walls and floors. ...
• Precast foundations. ...
• Twin wall technology. ...
• Thin joint masonry.

In the 40 years between 1981 and 2021 the percentage of all Australian households living in social housing (i.e. state owned and managed public housing or community managed housing) has ranged from 4.9 per cent in 1981 to 3.8 per cent in 2021 (from 2021 ABS Census). Such a drop in the proportion of social housing raises the question of has Australia achieved the balance right, and also just what is the right level of social housing for Australia?

To put Australia's level of social housing into perspective, we can look at other countries with broadly similar cultural characteristics and values: England, New Zealand, Canada and the USA.
In 2018 Statistics Canada said 628,700 Canadian households, more than one in ten renter households nationally (13.5% of 4,652,500), were living in social and affordable housing. In 2021 the Canadian Census said there were 14,978,940 households, which means about 4.2 of all households were living in social housing.

In New Zealand, as of 30 June 2021, there were 74,337 public housing households. With a total estimate of 1,865,300 households in March 2021 for the country, this equates to 4.0% of households living in social housing.

In England (in 2018) 17% of households (3.9 million) lived in social housing, while the U.S. Department of Housing and Urban Development publishes that 1.2 million households live in public housing, which is 0.98 per cent of all housing (122,354,219 households in 2020).
As can be seen, there is a very wide spread of levels of social housing across these countries that culturally similar to Australia.