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Australia has heavily imbalanced supply-demand in housing. It accepts a very high number of migrants each year, compared to its population, and the design of i
by scarab92 2y ago
Australia has heavily imbalanced supply-demand in housing.
It accepts a very high number of migrants each year, compared to its population, and the design of it's migration system means that these are almost all white collar workers who need homes not blue collar workers who can build them.
It's zoning system is also hyper-local, which results in NIMBY dominated planning schemes that typically prohibit increased density.
- robertlagrant 2y ago> It accepts a very high number of migrants each year, compared to its population Looked this up - Covid aside, Australia has taken in 250k people net every year for the last ten years, except for the most recent couple of years, where it's gone up to 400k-500k[0]. That requires the equivalent of a new Canberra[1] every year. Current population: 27m people[2]. I'm not sure what that rate per population is compared to most countries, but it's much higher than the UK's. In 2023 the UK took in 685,000 people[3], but on a base of 67.5m in 2022[4]. [0] https://www.abs.gov.au/statistics/people/population/overseas-migration/latest-release https://www.abs.gov.au/statistics/people/population/overseas... [1] https://en.wikipedia.org/w/index.php?title=List_of_cities_in_Australia_by_population&oldid=1233421129 https://en.wikipedia.org/w/index.php?title=List_of_cities_in... [2] https://en.wikipedia.org/w/index.php?title=Demographics_of_Australia&oldid=1236343008 https://en.wikipedia.org/w/index.php?title=Demographics_of_A... [3] https://migrationobservatory.ox.ac.uk/resources/briefings/long-term-international-migration-flows-to-and-from-the-uk https://migrationobservatory.ox.ac.uk/resources/briefings/lo... [4] https://en.wikipedia.org/w/index.php?title=Demographics_of_the_United_Kingdom&oldid=1238001326 https://en.wikipedia.org/w/index.php?title=Demographics_of_t...
- austin-cheney 2y agoThe economics of fixed resources, such as housing, are not directly vested in supply/demand ratios. As a proof the city where I live has gained about 80,000 new residents in the last 4.5 years. Supply cannot keep up with demand and its not effecting prices.
- scarab92 2y agoThis isn't about prices, it's about homelessness. When population is growing faster than housing times occupancy rate, then necessarily people are sleeping rough.
- austin-cheney 2y agoIts not clear if people are moving in faster than new housing can be built or if supply availability is artificially limiting speed of growth. Prices do matter, because that impacts inventory access more than any other factor and largely explains the desirability of this location, versus other locations, more than any other factor.
- scarab92 2y agoIn the long run yes, but Australia's problem is that migration has suddenly increased from about 250k pa to 600k pa, and our building industry simply can't keep up. Prices are spiking, but there isn't much supply response because Australia has low unemployment and few people are willing to switch careers, especially given it takes years of training to become qualified.
- lmpdev 2y agoIt has naturally dropped off again though as it was mostly a backlog of migrants from years with lower caps than what we ought to have had It is stabilising now and will return to normal levels