Housing sector fears for first home buyers
The housing industry has welcomed skills and training initiatives in the Budget, but has expressed concern about the lack of a long-term approach to a looming shortage in housing supplies.
WILHELM HARNISCH, CHIEF EXECUTIVE, MASTER BUILDERS ASSOCIATION
"There were some positives in the building and construction industry, such as some training initiatives, which were obviously very welcome, as was the decision to bring forward the losses in the industry with regard to infrastructure in Australia.
"My position on the construction industry is broader, and covers the extent to which the Government can help with broader private sector recovery, particularly with regard to achieving supply targets. The Government Budget is right for today, but concerns persist about the extent to which it is passing productivity and economic reforms, and the continuing resources boom, into tackling supply chain constraints that constrict the economy."
HARVEY DALE, CHIEF ECONOMIST, HOUSING INDUSTRY AUSTRALIA
"I was encouraged by the commitment to skills and training initiatives which were very well telegraphed, but the devil may be in the detail.
"I was disappointed that there were no measures to boost the supply of housing stock. There is still a very high barrier to young Australians looking to enter the housing market.
"In the construction sector, we have a problem in that we are likely to have an interest rate rise sooner rather than later, and we are looking at declining levels of new home buildings that are comparable to GFC levels, during which there was a chronic shortage of housing. I would have liked to have seen more stimulus measures, which would encourage spending and boost taxation receipts, but there doesnt seem to be anything much in that regard."
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