5th Annual Demographia International Housing Affordability Survey

Dr. Shlomo Angel, of Princeton University and New York University, one of the world’s leading experts in urban planning writes in the preface to this 5th Annual Demographia International Housing Affordability Survey.

The current efforts to contain the pace of the outward expansion of cities for one reason or another are, at the very least, open to serious question. Referring to land use regulation, he continues:  The more stringent the restrictions, the less is the housing market able to respond to increased demand, and the more likely house prices are to increase. And when residential land is very difficult to come by, housing becomes unaffordable.

This report describes the economic connection between that “smart growth”, “urban consoldiation” policies (prescriptive land use policies) and the unprecedented house price escalation that has occured in recent years in some markets. Moreover, the consequences have expanded well beyond housing. Without prescriptive land use regulation, the housing bubble in the United States would have been less severe; without a severe housing bubble, the US mortgage meltdown would not have occurred and without the US mortgage meltdown, the international financial crisis might not have occurred. It will be important to reform land use policies to prevent similar damage from occuring in the future.

Go now to: DEMOGRAPHIA: Demographics Development Impacts Market Research & Urban Policy

First Home Owner’s Grant

Australia’s Prime Minister Kevin Rudd said “The First Home Owner’s Grant Boost as you know we’ve indicated that that will conclude within a very fixed and finite time frame.”  “We’re still measuring the full effect but I think it’s very important that as a community we understand that deadlines are imposed for a particular purpose. It’s had strong, useful results so far but I’ve got to say, all good things must come to an end”

There has been no formal decision made on whether or not the FHOG Boost will be extended beyond 30 June 2009.

Source: Real Estate Institute of Australia

NSW and Australian Government Social Housing Stimulus Plan

Over the next three years the Commonwealth and NSW Government will invest approximately $3 billion to build around 9000 social housing homes across NSW.

Housing NSW is seeking tenders to deliver new dwellings in NSW which will create jobs, stimulate the NSW economy and provide more social housing for people in need.

Source: Housing NSW Homepage