Mr HIGGINS - 2012-10-24
Can you inform the House on the status of housing in the Territory and, importantly, any relationship with this and the budget?
ANSWER
Thank you, Madam Speaker, and thank you, member for Daly. Thousands of Territorians have moved interstate over the past few years because the cost of buying or renting a home was simply out of reach. The population drain of Territorians has impacted heavily on small businesses and they have struggled to recruit and retain good staff.
The schemes of the previous government did not increase the pool of new affordable houses - we have already discussed this. Historically, 93% of the buyers using the previous government’s shared equity schemes bought existing dwellings rather than new supply. This means the schemes have not materially changed supply and demand dynamics. The schemes were complex to administer and had a high impact on the government’s nett debt and fiscal balance in the short term and medium term. They also tied up the government’s equity for long periods of time - up to 38 years. I do not remember reading any of that in the previous paraphernalia.
The schemes also had a negative impact on affordability driving up house and unit prices by increasing those in the purchasing pool and their borrowing capacity.
The fact is, we can assist those in need, help people enter the market, and do so in a way that will see new housing introduced. This will result in a removal of the pressures placed on the market by previous policies.
The government’s Real Housing for Growth plan - if the Opposition Leader would care to listen - will see the construction of 2000 affordable and industry homes across the Territory over the next four years. The challenge we have been confronted with - and I have had many conversations with the Treasurer about this - is we need to invest and it can and does help those in need and does not put up the prices of houses.
What we are seeking to do with the Real Housing for Growth plan is to make the government’s contribution go further, while enabling developers to target support where it is most needed. We will enable developers and investors to build, own, and manage new housing by government head-leasing properties for up to 15 years. Our plan will be targeted at essential workers and our children in the Territory by increasing the pool of affordable houses. In the coming weeks, as the Chief Minister has already set out, we will announce a comprehensive housing strategy overall.
It has to start with land release; something the previous government failed to ...
Ms Lawrie: Where?
Mr CHANDLER: What do you mean ‘where’?
Ms Lawrie: Where are you going to release the land?
Mr CHANDLER: How often, Leader of the Opposition, have you flown into this place, or flown into Alice Spring and seen a land shortage in the centre of Australia?
Ms Lawrie: Where are you going to release the land?
Mr CHANDLER: If the Leader of the Opposition cannot see drunks just outside this parliament there is no way she is going to see all the land. It is everywhere; start to look.
Ms Lawrie: Name the area.
Mr CHANDLER: Yes, it is expensive but, yes, it can be done. You have to be a little intuitive.
ANSWER
Thank you, Madam Speaker, and thank you, member for Daly. Thousands of Territorians have moved interstate over the past few years because the cost of buying or renting a home was simply out of reach. The population drain of Territorians has impacted heavily on small businesses and they have struggled to recruit and retain good staff.
The schemes of the previous government did not increase the pool of new affordable houses - we have already discussed this. Historically, 93% of the buyers using the previous government’s shared equity schemes bought existing dwellings rather than new supply. This means the schemes have not materially changed supply and demand dynamics. The schemes were complex to administer and had a high impact on the government’s nett debt and fiscal balance in the short term and medium term. They also tied up the government’s equity for long periods of time - up to 38 years. I do not remember reading any of that in the previous paraphernalia.
The schemes also had a negative impact on affordability driving up house and unit prices by increasing those in the purchasing pool and their borrowing capacity.
The fact is, we can assist those in need, help people enter the market, and do so in a way that will see new housing introduced. This will result in a removal of the pressures placed on the market by previous policies.
The government’s Real Housing for Growth plan - if the Opposition Leader would care to listen - will see the construction of 2000 affordable and industry homes across the Territory over the next four years. The challenge we have been confronted with - and I have had many conversations with the Treasurer about this - is we need to invest and it can and does help those in need and does not put up the prices of houses.
What we are seeking to do with the Real Housing for Growth plan is to make the government’s contribution go further, while enabling developers to target support where it is most needed. We will enable developers and investors to build, own, and manage new housing by government head-leasing properties for up to 15 years. Our plan will be targeted at essential workers and our children in the Territory by increasing the pool of affordable houses. In the coming weeks, as the Chief Minister has already set out, we will announce a comprehensive housing strategy overall.
It has to start with land release; something the previous government failed to ...
Ms Lawrie: Where?
Mr CHANDLER: What do you mean ‘where’?
Ms Lawrie: Where are you going to release the land?
Mr CHANDLER: How often, Leader of the Opposition, have you flown into this place, or flown into Alice Spring and seen a land shortage in the centre of Australia?
Ms Lawrie: Where are you going to release the land?
Mr CHANDLER: If the Leader of the Opposition cannot see drunks just outside this parliament there is no way she is going to see all the land. It is everywhere; start to look.
Ms Lawrie: Name the area.
Mr CHANDLER: Yes, it is expensive but, yes, it can be done. You have to be a little intuitive.
Last updated: 09 Aug 2016