National housing supply gap to rise by 50,000 by June 2011

Australia’s continuing housing shortage means that by June 30th next year, the national housing supply gap will have increased by a further 50,000, a study has found.

A new report by the National Housing Supply Council revealed that Australia currently has 178,000 more potential home buyers than available properties, the Australian reported.

Queensland and Western Australia were found to account for almost half the total shortfall, though New South Wales was said to be having most trouble keeping up with demand.

According to the report, the sluggish house building sector delivered barely one new house for every two new households that were prepared to buy during the last financial year.

Referring to home building plans in the pipeline, it added: "The council is concerned that if only a small proportion of these potential new dwellings do not proceed to completion – which is highly likely – new dwelling completions will not meet the increase in underlying demand."

The news may interest Aussies who wish to compare home loans and secure a property. According to recent reports, the federal government is to require temporary residents and foreign students to sell their houses when they leave the country as a means of combating the housing shortage.

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