REIQ chief executive Antonia Mercorella said that while affordability is not yet at critical levels in Brisbane, demand continues to grow in Queensland that will inevitably increase prices.
Figures from the Housing Industry Association reveal that Queensland needs at least 40,000 new dwellings a year to keep up with demand. However, for the past five years, dwelling construction has averaged around 30,500.
“The simple truth is that not enough houses are being built and every year the pent-up demand for housing grows,” Ms Mercorella said.
She said the solution should have a multi-pronged approach rather than a single measure.
“In addition to increasing supply through land release, the REIQ advocates the eradication of stamp duty, which is a regressive tax that stifles housing mobility and creates inefficiencies in housing,” Ms Mercorella said.
Furthermore, Ms Mercorella said first home buyers were finding it difficult to enter the market, with cost-of-living pressures and reduced wages growth impacting on their ability to save for a deposit.
“More needs to be done to help this younger demographic get into home ownership, including introducing a superannuation-house deposit scheme, and improving financial literacy,” she said.