29 Sep Why is Australian housing so expensive and what can be done to improve housing affordability?
Key Points:
- The key drivers of poor housing affordability and high household debt levels in Australia have been low rates and poor housing supply.
- Macro prudential controls to slow home lending now look imminent. But this is just a cyclical measure.
- More fundamental measures to improve housing affordability need to focus on boosting housing supply and decentralising away from major cities.