Housing has been key to protecting people during the COVID-19 crisis - and it should be key to the nation's economic and social recovery too. Sadly, the Morrison government's HomeBuilder plan misses the mark entirely, despite splashing $688 million of precious public money in its attempt.
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The potential to address the chronic shortage of social and affordable housing, while also protecting the half a million jobs that are in peril in residential construction, has been completely neglected.
Let's not kid ourselves, Australian housing didn't come into this crisis in good shape.
In the private sector, house prices have spiralled completely out of the reach of millions of Australians, while the number of first-home buyers has fallen off a cliff.
The Samaritans' Rental Affordability Snapshot found there wasn't a single advertised property in Newcastle and Lake Macquarie that a single person on the original rate of JobSeeker could afford.
Even a couple who both earn the full-time minimum wage and have two kids, could afford only 12 per cent of advertised properties without financial stress.
HomeBuilder won't create the jobs we need. It's too small, too complex and will come too late to save many of the hundreds of thousands of tradies' jobs at risk.
When it comes to social housing, decades of neglect, underinvestment and sell-offs have led to a projected shortfall of almost 500,000 dwellings. The NSW Liberal government has netted almost $50 million from selling social housing in Newcastle alone.
As a result, millions of Australians are going backwards just trying to keep a roof over their heads, key workers can't afford to live in the cities they serve and, to our great shame, more Australians are homeless.
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COVID-19 has led to the construction pipeline contracting dramatically and more Australians are facing dire financial pressures than at any time in living memory.
The way forward is clear. We have a golden opportunity to not only create jobs and drive economic activity, but to protect a growing number of vulnerable Australians.
We can do this by investing in new social and affordable housing and an ambitious maintenance program for existing social housing stock. These are the key elements of the National Housing Stimulus Plan Labor has been calling for for weeks. Regretfully, the Morrison government's HomeBuilder package - which consists of $25,000 government grants for property owners to build new homes or undertake renovations costing at least $150,000 - fundamentally fails to deliver.
First, there are very few people willing to borrow money to invest in this uncertain housing market. There are even fewer who have a lazy $125,000 lying around for renovations. Those who do want to proceed may find it difficult to secure the necessary bank and council approvals within the timeframes.
This just leaves the lucky ones with construction plans already in train. These people will probably do the work anyway, essentially rendering the grant a cash handout rather than a stimulus measure.
Shockingly, I've even seen a real estate agent's advertisement telling buyers they can use the $25,000 grant to buy new or off-the-plan apartments - developments that would almost certainly have gone ahead with or without Mr Morrison's generous contribution.
HomeBuilder won't create the jobs we need. It's too small, too complex and will come too late to save many of the hundreds of thousands of tradies' jobs that are at risk. And it's not just Labor that thinks this. Indeed, representatives from the Master Builders Association and the Property Council of Australia, to the Community Housing Industry Association, National Shelter and Homelessness Australia have called for much more substantial packages.
But the tragic missed opportunity of HomeBuilder is that it will do absolutely nothing to address the diabolical issues facing the Australian housing sector - indeed, it totally fails to deliver any ongoing community return.
While property owners will qualify for a $25,000 government boost, there's nothing for the Australians who need it most.
Not a cent to help women and children fleeing domestic violence, people sleeping rough, essential workers or those who lose their jobs.
In fact, there's zero ongoing public benefit to Australian taxpayers - something that should be non-negotiable with any government investment of this size.
It's time for the Morrison government to rethink this plan, and work with industry, the states, investors, not-for-profits and superannuation funds to deliver a National Housing Stimulus Plan that delivers for the entire nation.
Sharon Claydon MP is the Federal Member for Newcastle
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