THE HAFFS AND THE HAFF NOTS – AN IMPORTANT PART OF HOUSING RIDDLE

February 15th,2023

All eyes will be on the Crossbench as a cornerstone policy of the Albanese Government, the Housing Australia Future Fund, sits before the Senate.

Independent Senator David Pocock has pointed out that the 30,000 homes the HAFF is set to deliver falls well short of fixing the needs of a very stressed housing system.

He is right. Much more supply is needed when it comes to Australia’s current and future accommodation needs.

The Australian Greens and the Coalition have also pointed out the deficiencies of the HAFF with media reporting the Greens are reviving their national rent freeze as a bargaining chip.

Australia’s real estate practitioners are seeing this play out in a real-world way and are working at the coalface of this crisis.

In my hometown of Fremantle, an affordable rental recently had 88 groups inspect the home and 49 applications to rent it. That means 48 Fremantle locals have missed out on affordable accommodation.

As agents, our aim is to help secure a rental for all 48 of these prospective tenants. But the supply is simply not there due to decades of inaction by all Governments.

Perth’s rents have increased 62 percent since 2002 for houses and 88 percent for apartments. Local vacancy rates are now at 40-year lows sitting at 0.6 percent, a long way from a market balanced 3.5 percent.