The new government needs to increase housing supply in order to prevent property prices from increasing to rates that make them unaffordable, the Real Estate Institute of Australia (REIA) has claimed.
David Airey, president of the REIA, said that the new government will need to conduct a review, considering additional measures to bridge the imbalance that currently exists in the demand and supply of Australian property.
"Supply has been unable to keep pace with demand due to constraints on land availability, lengthy planning delays, skill shortages and lower yields, stemming from the increased cost of entering the property investment market," Mr Airey said.
He suggested that, if the incoming government made all of these processes easier, the housing market would have the chance to recover at a more rapid rate.
Back in June, Angus Raine, chief executive officer of Australian property firm Raine & Horne, claimed that the Australian property market in Sydney was starting to see symmetry between buyer demand and supply.
Posted by Craig Francis
