WA is experiencing a rental crisis spurred on by a lack of affordable housing available to the market. This lack of supply puts upward pressure on land and housing prices and compromises housing affordability and limits people’s choice.
Unfortunately, there are a broad range of government policies that do not consider the impact on housing affordability – either directly or indirectly.
UDIA recommends:
- The State Government’s Urban Growth Monitor accurately tracks the supply of available developable land and infill capacity – it is currently not accurate
- Incorporate a Housing Affordability Impact Statement into all relevant Cabinet submissions to ensure cost impacts of new policies on consumers are minimised and addressed
- The state government should ensure projects outside of our adopted urban footprint are considered on merit rather than arbitrarily knocked back – introduce a proponent led option under Perth and Peel @3.5million
- No retrospective rezoning of land that has already been zoned for urban development
We must cater for the range of housing needs of all Western Australians when delivering new land and housing options to the market. We have a diverse population that deserves to have a choice in where they want to live and in what type of home.
Affordability is an important aspect of choice when it comes to the residential market because choice leads to more successful, vibrant communities.
A range of factors limit choice in the WA market including:
• Restrictive taxation policies
• Lack of land supply
• Increased costs of construction
• Efficiency of the approvals systems
• Infrastructure delivery and charges
UDIA recommends:
- Replace stamp duty with a more equitable and efficient taxation regime;
- Better management of community infrastructure schemes;
- Invest in more affordable housing stock;
- Fund the new WA Housing Strategy;
- Facilitate Build to Rent projects that can offer an attractive, stable rental option for the market; and
- Launch a public education campaign on the benefits of increased housing choice in every suburb.
Innovation can lead to new and diverse housing options and design outcomes. The need to quickly respond to change has been highlighted by our response to COVID-19.
Innovation leads to adaptation which is critical in our changing environment and ensures we can meet the changing needs of communities.
UDIA recommends:
- Incentivise the take up of a greater diversity in house building materials and increase the number of homes built using modern methods of construction
- Ensure that the housing construction standards provide for affordable and energy efficient homes
- Streamline approvals pathways for innovative projects
In order to maximise WA’s potential as a place of choice to live, work and invest, we need a clear identity and value proposition for our state that highlights the fantastic attributes that we have to offer those that already live here and those that could move here or invest in our markets.
UDIA recommends:
- The State Government plays a leadership role in clearly defining a brand proposition for the state of WA
- Leverage that brand and ensure that it engages all government departments, industry and the community in the delivery