Canadian Apartment Magazine’s Post

https://lnkd.in/gDrFkAq9 "Australia will fall 90,000 homes short of this year’s national target of 240,000 new dwellings, affordable housing industry figures have said after new housing starts for 2023 came in at the lowest level in 11 years. Dwelling commencements over the last calendar year undershot the national cabinet total by almost one-third, falling to 163,836, Australian Bureau of Statistics figures showed on Wednesday. This was the weakest since the 2012 total of 153,580." The sad truth in #Labor's numbers and economic abilities. #albonomics #eachwayalbo #incompetence #economicvandals #motherhoodstatements

Targets have been set: now it’s time for councils to upzone and builders to build 🏗️ By allocating 40,000 homes to inner and middle ring LGAs, the Victorian Government has shown that they have heard YIMBY Melbourne loud and clear: we need more homes where people want to live. The Government’s draft targets for Darebin, Kingston and Yarra align well with those published by YIMBY Melbourne. The only sustainable way for councils to meet their targets is to densify existing suburbs to maintain the best access to jobs, services, and green space that these inner suburbs are known for. --- The Government’s housing targets do not appear to consider the differences in the economic feasibility between building homes in different local government areas. While important factors such as public transport, jobs, and environmental hazard risk were used in the methodology, construction costs, land and home prices should be considered too. Without a demand and data-driven methodology, there is a risk councils have been assigned targets higher than can be feasibly built, while the council areas where housing demand is highest might have targets lower than could be profitably built. This risks making the distribution of targets inequitable, by setting up some local councils to be perpetually behind their targets while rewarding others for building a fraction of the capacity they could support. We urge the Government to release their methodology and data sets for external validation. --- The Government has laid out its terms and the ball is now in the councils' court, but one thing is clear: the status quo is no longer an option. These targets cannot be met through building a few towers to subsidise endless urban sprawl. In order to meet these targets, local councils across Melbourne must upzone around our public transport network to unlock Melbourne’s Missing Middle. If councils choose to maintain the status quo, they are choosing to prolong our housing crisis.

Lots to disagree about in this article claiming supply of new #housing isn't the answer to the housing crisis 👇 There are now a number of academic studies which show building more homes will reduce prices. Moreover, it is undeniable that the UK has fewer homes per capita than other G8 countries such as France, Germany and Japan. We have now experienced a period of higher interest rates and yet house prices haven't fallen. That alone should indicate undersupply. Finally, describing property development as 'amped up' when the sector has gone through a wave of material and significant regulation over the last 3 years misunderstands the complexity and challenges the sector continues to face.

In our May Monthly Insights & Strategies Report, we revisit our "Housing Crisis or Opportunity?" report from October, and provide an update against the government initiatives outlined in Budget 2024. Along with the CMHC Housing Market Outlook, published the next day, we see continuing pressure on housing availability and affordability in Canada, with housing starts continuing to trend lower through 2024 and demand increasing from record population growth.

The NSW Productivity Commission’s report on fixing the housing crisis released this week says that the major barriers to fixing the housing crisis are finance costs. But you have to dig for it, because the biggest, showiest focus of the report is on doing away with quality in apartments, such as sunlight, amenity, and loosening up the planning regime so that projects are fast tracked. Then there’s the commission’s weird focus on the costs of labour. Read the full takeaways: https://lnkd.in/epcvZGc4 #housingcrisis #NSWProductivityCommission #housingaffordability #developerfeasibility

Everyone talks about supply, and nobody wants to talk about effective demand, that is demand for housing backed up with money. If we want to make housing affordable, we must build more homes. That is a necessary condition for improving affordability. But it is not a sufficient condition. We must also regulate mortgage lending more tightly. At present, the PRA and FCA look at loan to value ratios and at Income multiple ratios. And these have been relatively steady for many years. So what drives house price inflation? Loan tenor drives it, tenor being the banker's name for the length of loans. The proportion of mortgages written to last 35 and 40 years has been steadily growing for years, 20 and 25-year mortgages are now only a small part of the lending market. Unless this is tackled, we will not achieve significant improvements in affordability. The lenders won't sort it out themselves, the Bank of England /FCA will need to step in with regulatory guidance. Being in debt for a whole lifetime for a pokey starter home is not a good customer outcome and is evidence that mortgage lenders are not properly considering the consumer duty obligation they are supposed to.

As Canada's housing crisis intensifies, British Columbia is taking the lead in finding solutions, while Ontario struggles to keep up. According to Mike Moffatt, economics professor, and policy director at the Smart Prosperity Institute, B.C. is building new housing units at a rate that outpaces its population growth, with Alberta and Atlantic Canada also showing strong housing productivity. Although B.C. experienced an 8% drop in housing starts compared to last year's record-setting figures, its production still exceeds the five-year average. Conversely, Ontario has seen a 17% decline, continuing a downward trajectory since 2021. Moffatt warns that Ontario's housing production isn't keeping up with population growth, posing deeper challenges ahead. Building permits, a key indicator of future housing development, have surged by 15.4% in B.C. in 2024, signaling continued growth. In contrast, Ontario shows no similar momentum, pointing to potential long-term housing challenges. At WeConstruX, we see this housing crisis as both a challenge and an opportunity. Proactive, sustainable construction practices are essential to meet rising demand while minimizing environmental impact. With the right investments in infrastructure and planning, provinces like Ontario can reverse the trend and build a more sustainable future. We remain committed to being part of the solution, partnering with communities and stakeholders across Vancouver's Lower Mainland to deliver sustainable, long-term housing solutions. "#WeConstruX #SustainableHousing #UrbanGrowth #HousingSolutions #GreenBuilding #SmartCities #ConstructionInnovation"

As Canada's housing crisis intensifies, British Columbia is taking the lead in finding solutions, while Ontario struggles to keep up. According to Mike Moffatt, economics professor, and policy director at the Smart Prosperity Institute, B.C. is building new housing units at a rate that outpaces its population growth, with Alberta and Atlantic Canada also showing strong housing productivity. Although B.C. experienced an 8% drop in housing starts compared to last year's record-setting figures, its production still exceeds the five-year average. Conversely, Ontario has seen a 17% decline, continuing a downward trajectory since 2021. Moffatt warns that Ontario's housing production isn't keeping up with population growth, posing deeper challenges ahead. Building permits, a key indicator of future housing development, have surged by 15.4% in B.C. in 2024, signaling continued growth. In contrast, Ontario shows no similar momentum, pointing to potential long-term housing challenges. At WeConstruX, we see this housing crisis as both a challenge and an opportunity. Proactive, sustainable construction practices are essential to meet rising demand while minimizing environmental impact. With the right investments in infrastructure and planning, provinces like Ontario can reverse the trend and build a more sustainable future. We remain committed to being part of the solution, partnering with communities and stakeholders across Vancouver's Lower Mainland to deliver sustainable, long-term housing solutions. "#WeConstruX #SustainableHousing #UrbanGrowth #HousingSolutions #GreenBuilding #SmartCities #ConstructionInnovation"

In the know. 1. Australia's cumulative undersupply of housing is about to surpass 200,000 dwellings, driven by strong population growth outpacing new housing supply. 2. The market went into undersupply in the mid-2000s, corresponding with an increase in immigration-driven population growth that overwhelmed construction rates. 3. Dwelling approvals rates have dropped, indicating fewer homes will be built in the coming years, exacerbating the housing shortage. 4. Australia's population continues to grow at a high rate due to strong net overseas migration, further worsening the housing undersupply. 5. To resolve the housing shortage, the federal government should aim for a net overseas migration rate of around 120,000 people a year, in line with pre-2005 levels when population demand matched housing construction rates. https://lnkd.in/gTPC8jYB https://lnkd.in/gVVz3AG3