The Future of Housing - Part 1
Unfortunately, when we talk about the future of housing, the “Affordability” debate seems to be the only game in town. Now this is a critical issue, but we need to understand that affordability, as a concept, is not simply about the cheapest home and the cheapest land. This is just the low hanging fruit, and there is only so far that it can get us. The future of housing is far more complex and is not only about where people live, but how they live.
The affordability debate consistently gets hijacked for political means, and when politics get involved, all we get are short term Band-Aid solutions. To solve the affordability debate requires a generational change in how, as a society, we choose to live.
Australia is undoubtedly the lucky country and we have been used to our own patch of turf. It used to be the quarter acre lot and now it’s the 300m2-500m2 lot, or even apartment living. But getting smaller is not the answer. There is only so small you can go before it impacts on our mental and emotional health as a society.
Affordability is often dictated by location. The further from a city centre the cheaper the property. But in that equation the following key items must be considered, and if not considered, they will begin to impact on our social and environmental welfare –
· Its impact on property value
· Its impact on living and travel expenses
· The social and emotional impact on family time
· Environmental Impact
· Cost of providing Infrastructure
But we can’t address those concerns under the current parameters of the affordability debate. The answers provided by governments and even industry groups are to –
· Open up more land to increase supply
· Reduce government fees and charges
· Create smaller products
These elements, whilst a good start, are short term fixes. I believe we need to challenge our view of what being a home owner means, and how we live, not just where. In this debate I believe there are 4 key areas that need to be explored –
1. Staged Housing
2. Ageing in Place
3. Generational Living
4. Generational Finance Solutions
Over the coming few weeks I will delve into more detail on each of these topics in an attempt to enlighten you on my ideas and theories on this very important issue.
John Rosel