Building and construction association, Master Builders Australia is standing behind South Australian Senator, Bob Day as he calls for reforms to boost housing supply in the state.
John Stokes, executive director of Master Builders South Australia says the housing market in the state hasn’t changed in over two decades.
“Dwelling starts are currently only running at a level of 10,005, basically the same as 25 years ago,” he said.
“There is no doubt that residential construction can play a major role in bridging the economic activity gap confronting the state. The recovery in home building is emerging as a major engine of growth in other states and it must be allowed to do the same here.”
Stimulating new housing construction is the only way to tackle the housing affordability problem faced by many households, not only in South Australia but nationwide, says Stokes.
“Senator Day in the Senate last week reinforced the need to tackle the massive housing under-supply to address affordability pressures and ensure adequate supply of social housing,” he said.
“Reforms to increase housing construction would also be more effective in easing affordability pressures than abolishing negative gearing which would be counterproductive.”