Despite interest rate rises, house prices have retained most of their value, which has led to a decrease in housing affordability across Australia.
The Queensland Housing Summit was an admission of failure and did nothing to address the real problems in housing affordability in Queensland.
Housing repayments were more affordable in the first quarter this year than the last quarter in 2021, but interest rate hikes since then will reverse this.
The latest Australian Institute for Progress Housing Affordability Index shows housing affordability improved slightly in the September Quarter, 2021. This was as a result of price falls in Melbourne, while they stayed almost stationary in Sydney.
House prices are likely at a peak, with or without interest rate rises, as they nudge levels of unaffordability last seen just before the Global Financial Crisis.
The latest AIP Housing Affordability Index shows that while house prices have risen there is scope for them to rise much further before they become unaffordable, judged on an historical basis of what purchasers are prepared to pay.
We've renewed our call for first home buyers to be able to borrow from their superannuation account towards their deposit based on a new study: "Superannuation and Housing: growing the cake and eating it too".
The state government can find $200 million for the rescue a 90% foreign-owned airline like Virgin, but is happy to throw Queensland investors under a bus.
Labor's two-pronged housing affordability package has them rowing the same boat in both directions, expending a lot of taxpayer dollars and going nowhere.
Labor's problem is this. If abolishing negative gearing is to improve housing affordability it has to decrease prices. But if it decreases prices it decreases the savings of all home owners.