Housing Minister

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GUEST OBSERVER
The latest ABS housing approval data for NSW indicates a big drop over five months giving the new Housing Minister a big challenge.
The ABS trend data indicates that between July 2016 and December 2016 home approvals in NSW dropped by 24% and apartment approvals by 35 percent.
These figures will give the new Housing Minister, Anthony Roberts, a big challenge as he acquaints himself with his new portfolio.
The home approvals by trend for December 2016 were 4,950 compared to the July 2016 figure of 6,545. This is a drop of 1,595 or 24 percent over 5 months. 
Most of the drop was with apartment approvals which dropped from 4,133 in July 2016 to 2,668 in December 2016. This is a drop of 1,465 or 35%.
The trend graphs illustrate a steady drop over the last 5 months. It will be important that the new NSW Housing and Planning Minister brings in some new policies and improvements to the planning system to reverse the current trend.
It would appear that the Greater Sydney Commission (GSC) which began in February 2016 has not been able to influence housing approvals and that the confusion with local council amalgamations may have contributed to the slow down.
A number of Urban Taskforce members have reported difficulties in getting approvals from local councils and from the GSC’s planning panels even in areas where the state government has encouraged development.
The recent release of the District Plans by the GSC has added to uncertainty as they seem to restrict housing in a number of areas. The August rezoning review issued by the Government has also made it more difficult to submit planning proposals.
The big drop in housing approvals comes just as the new Premier, Gladys Berejiklian, has stated that housing supply is the key to housing affordability and appointed Anthony Roberts as Housing Minister to tackle the supply issue.
Minister Roberts is in an ideal position as both Housing and Planning Minister to take some strong action to ramp up housing supply in the state. He needs to look at the restrictive zoning in the District Plans that stops new housing in district and strategic centres and in out of date industrial areas in inner Sydney.
The Minister should also use the Greater Sydney Commission to fast track housing approvals for large projects over the value of $20 million. He should also look at setting up planning centres of excellence in each of the six Sydney districts to drive housing supply.
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In the current boom economic times, Sydney should be completing 40,000 new homes a year but the highest number to date has only been 31,000.
The Urban Taskforce is keen to work with Minister Roberts to develop fast track processes to lift housing supply. We are also keen to outline a plan to complete 4,000 new affordable homes a year for Sydney.
See below New monthly private sector home approvals NSW graph based on ABS figures: 
<a href="https://www.propertyobserver.com.au/images/2017/02/03/Screen%20Shot%202017-02-03%20at%208.41.36%20AM.png" target="_blank">Click to enlarge</a>
<img src="https://www.urban.com.au/images/2017/02/03/Screen%20Shot%202017-02-03%20at%208.41.36%20AM.png" alt="">
Chris Johnson is chief executive officer of property development industry group Urban Taskforce and can be contacted <a href="https://www.urbantaskforce.com.au/index.php?option=com_content&amp;view=article&amp;id=97&amp;Itemid=126#.Vdaart55dFI" target="_blank">here</a>.
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mick.cee-iDmgDDAmu8

Housing Minister must act as approvals dropping fast: Chris Johnson

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GUEST OBSERVATION
As politicians across Australia grapple with a fix for housing affordability, you might be forgiven for thinking this was the first time the nation has confronted a crisis in housing. But analysis of documents from the reconstruction period following the second world war finds that, as the war was drawing to a close, concern was building about housing availability and affordability. <img src="https://counter.theconversation.edu.au/content/74615/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1">
Some of the issues, arguments and solutions being presented today are extremely similar to those consuming Australian politicians and policymakers three-quarters of a century ago.
<h2>Housing and fertility</h2>
Treasurer Scott Morrison <a href="https://www.smh.com.au/federal-politics/political-news/people-are-delaying-having-children-so-they-can-buy-a-house-scott-morrison-20170312-guwnm1" target="_blank">recently asserted</a> that the housing affordability crisis was so severe that:
"People are putting off when they buy their house. They are even putting off when they have kids so they can save more."
The links between housing affordability and the fertility of the national population are difficult to make at the best of times. But Morrison is not the first to make this connection.
In 1944, housing reformer Oswald “Oz” Barnett connected the declining national birth rate with a lack of quality and affordable housing.
<a href="https://www.propertyobserver.com.au/https://catalogue.nla.gov.au/Record/1599057?lookfor=author:(Oswald%20Barnett)&amp;offset=17&amp;max=19">He argued</a> that the "tragic lack of decent dwellings is rapidly leading us along the road to national race suicide […] One cannot blame a woman for refusing to bring a baby into the world […] nor blame the expectant mother, when her baby does come, for refusing to have another baby until she is able to obtain a house."
Similarly, in its second interim report in 1944, the <a href="https://www.propertyobserver.com.au/https://catalogue.nla.gov.au/Record/2843335?lookfor=commonwealth%20housing%20commission&amp;offset=5&amp;max=343" target="_blank">Commonwealth Housing Commission</a> reasoned that the lack of affordable housing stock available was “one of the major factors in the limitation of families” and the “alarming decline in the Australian birth rate”.
<h2>Rural spaces as the solution</h2>
While rural Australia had its own housing problems – and <a href="https://theconversation.com/a-housing-affordability-crisis-in-regional-australia-yes-and-heres-why-71808" target="_blank">still does today</a> – it also offered a solution to the problem of a low national birth rate. Sidney Luker, a civil engineer and town planner in New South Wales, <a href="https://www.propertyobserver.com.au/https://catalogue.nla.gov.au/Record/2319960?lookfor=author:(walter%20bunning)&amp;offset=11&amp;max=13" target="_blank">observed that</a> the decline in the national fertility was “naturally more apparent in the capital cities than in the country”.
His solution? Get people to move to the country via decentralisation policies.
Not only were those living in rural Australia more likely to have children, but life in the country was argued to be naturally superior. Journalist and historian <a href="https://www.propertyobserver.com.au/https://catalogue.nla.gov.au/Record/749306?lookfor=title:(War%20Aims%20of%20a%20Plain%20Australia)&amp;offset=1&amp;max=394913">Charles Bean</a> argued that “decentralisation” was necessary for the “health, conveniences and improvement of the big cities”.
Architect, town planner and key contributor to the Commonwealth Housing Commission <a href="https://www.propertyobserver.com.au/https://catalogue.nla.gov.au/Record/2235723?lookfor=author:(walter%20bunning)&amp;offset=6&amp;max=13" target="_blank">Walter Bunning</a> also believed that decentralisation would improve “housing conditions” and reduce the time workers spent travelling to their places of employment. This would prevent people from becoming a “race of ‘straphangers’” – people spending a long time on transport to and from work.
Such arguments are eerily similar to those we hear today about the costs of congestion that come with affordable housing being on the outskirts of our major cities.
Earlier this year, Deputy Prime Minister Barnaby Joyce <a href="https://www.propertyobserver.com.au/https://www.abc.net.au/news/2017-01-24/barnarby-joyce-urges-aspiring-home-owners-to-look-beyond-sydney/8209496">argued that</a> home buyers who couldn’t afford property in the major cities should consider moving to regional Australia. He said “there are other parts of Australia” to buy housing.
<h2>Housing affordability and political risk</h2>
Political and policy minds were also focused on fixing housing problems during the 1940s due to the risk of political discontent.
The <a href="https://www.propertyobserver.com.au/https://catalogue.nla.gov.au/Record/2316916?lookfor=(author:Council%20OR%20author:of%20OR%20author:Social%20OR%20author:Services%20OR%20author:NSW)%20AND%20(title:Report%20OR%20title:on%20OR%20title:Housing)%20AND%20(date:%5B1940%20TO%201950%5D)&amp;offset=1&amp;max=520">Council of Social Services NSW</a> explained: "Bad housing fosters the growth of anti-democratic opinion – the frame of mind of the ‘have not’."
Similarly, <a href="https://www.propertyobserver.com.au/https://catalogue.nla.gov.au/Record/713131?lookfor=author:(Oswald%20Barnett)&amp;offset=1&amp;max=19" target="_blank">Barnett</a> and fellow social housing campaigners Walter Burt and Frank Heath noted “an increasingly bitter contest between […] capitalism [and …] labour”.
<a href="https://www.propertyobserver.com.au/https://catalogue.nla.gov.au/Record/1599057?lookfor=author:(Oswald%20Barnett)&amp;offset=17&amp;max=19" target="_blank">Barnett</a> argued that this contest was being waged over housing: "The fight is centring on the struggles for houses for the people, […] houses that they can rent, or buy, at prices within their capacity to pay."
Politicians and policymakers today have not made a direct connection between problems of housing affordability and the political instability that comes with it. But they are no doubt highly attuned to it. They need only look to the <a href="https://www.forbes.com/sites/greatspeculations/2010/11/12/5-long-term-consequences-of-the-recession/#5875d93144ec">US</a> and <a href="https://blogs.lse.ac.uk/eurocrisispress/2014/06/10/mind-the-gaps-the-political-consequences-of-the-great-recession-in-europe/">Europe</a> and the part housing has played in contributing to political uncertainty in those places to understand the importance of tackling the problem in Australia.
Important differences exist between the the housing problems of 1940s Australia and those we confront in 2017. However, a historical perspective augments our understanding of contemporary housing debates and policies. It can provide more context and detail on potential ways forward.
Rae Dufty-Jones is senior lecturer in human geography at <a href="https://theconversation.com/institutions/western-sydney-university-1092" target="_blank">Western Sydney University</a>.
This article was originally published on <a href="https://theconversation.com" target="_blank">The Conversation</a>. Read the <a href="https://theconversation.com/when-it-comes-to-housing-affordability-debates-everything-old-is-new-again-74615" target="_blank">original article</a>.
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j.ballantyne1990-6AQqhLzZaK

The housing debate goes full circle: Rae Dufty-Jones

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Michael Sukkar has been appointed assistant Minister to the Treasurer and Minister for Housing.
He has been a member of the House of Representatives since 2013, representing the Deakin electorate in Victoria for the Liberal Party.
He served as the Assistant Minister to the Treasurer between 24 January 2017 and August 2018, when he returned to the backbench.
Luke Howarth is the assistant minister for Community Housing and Homelessness as key parts of Scott Morrison’s second Ministry.
The announcement of a Federal Housing Minister and an Assistant Ministry for Community Housing in the second Morrison ministry shows an awakening to the importance of affordable housing to the future of the country, according to Nicholas Proud, CEO of PowerHousing Australia, which represents 33 of Australia’s largest tier one and scale-growth community housing providers. 
“As the biggest slowdown in the development of residential housing in our history threatens to see house prices sky rocket again as demand again outstrips supply, the Federal Government signals that affordable housing, social impact and the economy are not mutually exclusive.
“With housing remaining in Treasury there is real promise to build on the development of the National Housing Finance and Investment Corporation to see affordable housing deliver up to 10-20 per cent of the national build rate to preserve, jobs, underpin state budgets, preserve supply and keep house prices rising at a more manageable pace.
“Linking Treasury, Cities and Urban Infrastructure makes real common sense, it shows commitment to stop thinking about social and affordable housing as a short-term real estate play and reframes it as a long-term infrastructure yield/risk class ripe for 10-15 year institutional and global investment.
“It also links housing to the deep infrastructure and City Deals investments announced in previous Coalition budgets, which help to reduce congestion and make it easier for Australians, including key workers and those on low and middle incomes, to more easily get to and from work."
Around noted Australia is heading for a slowdown in new housing delivery.
The Australian Banking Association welcomed the reappointment of Treasurer the Hon Josh Frydenberg MP and the new appointments of the Hon Michael Sukkar MP as Assistant Treasurer and Minister for Housing and Senator Jane Hume as Assistant Minister for Superannuation, Financial Services and Financial Technology.  
The CEO of the Australian Banking Association Anna Bligh welcomed the new appointments and looks forward to working closely with the Government on important policies such as improving protections for customers through overhauling the Banking Code of Practice, Open Banking and the Government’s First Home Buyers policy announced during the campaign.
“There are a number of critical reforms apart from the Royal Commission, most notably Open Banking and Comprehensive Credit Reporting, which the industry is eager to continue to work closely with the Government to ensure their success.
“Australia’s banks hold a critical role in the national economy and stand ready to work with the Morrison Government to ensure the economy keeps growing, from the financing of infrastructure projects to helping everyday people get ahead in life with first homes, cars and small business lending.
“Ensuring lending remains straight forward and easy for Australian customers looking to buy a home or invest in their business is a top priority for the industry and remains a critical element in ensuring the economy is geared for growth,” she said.
 
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Michael Sukkar appointed Minister for Housing

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The appointment of Alan Tudge, Minister for Population, Cities and Urban Infrastructure and Michael Sukkar, Minister for Housing, in the Morrison Ministry are important roles for the growth of Australia’s cities. 
Both Minister Tudge and Minister Sukkar have demonstrated excellent leadership in the areas of cities and housing over previous years so we welcome their continuing in these important roles.
Clearly housing supply is at a critical stage in Australia due to falling prices and slowing housing approvals yet our population growth is significant. 
The election of the Morrison government has already returned some confidence to the housing industry and it is important that this continues.” 
The actions by the Australian Prudential Regulatory Authority (APRA) to reduce the constraints on housing loans has been positive, as has suggestions by the Reserve Bank of Australia that interest rates could be reduced. These signals have led to some green shoots appearing in the housing industry.
One of the major changes happening in relation to housing in Australian cities is a big swing to apartment living, which is more affordable than house living. Apartments are also often well located in relation to public transport and to access to jobs and shared amenities. 
But some in the community have expressed concern at this change to the character of our cities. 
To support the swing to apartment living, the Urban Taskforce has instigated a campaign titled Welcome Home which champions those people living the more urban apartment living style.
The Urban Taskforce is keen to work closely with the Morrison Government on broad planning issues and particularly on policies related to the supply of new housing.
CHRIS JOHNSON is the Urban Taskforce CEO
 
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Housing Minister

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