00:02Well, this interim report suggests that one of the biggest changes which could make it
00:06easier for Australians to get into the housing market is to change land use laws.
00:12And that would be to make changes allowing for three storey unit or housing heights in
00:19most residential areas, allowing for mid to high rise apartments in areas that are under
00:25high demand and also allowing for more of a mix of residential and commercial developments
00:31to try and free up housing and try and get more people into homes in Australia.
00:37Now, this report says that rules such as making it illegal to build a granny flat in someone's
00:44backyard are really hindering housing supply across the country.
00:49The report also suggests that it's really important that we build housing and infrastructure
00:55together.
00:55In a lot of outer suburbs, in cities including Sydney, Melbourne, Brisbane and Perth, there
01:02are issues where infrastructure such as medical services, transport links and schools haven't
01:08been adequately built to fit with new population where houses have boomed or they haven't been
01:15built and residential lots are just sitting there without houses being built on them because
01:20there isn't enough infrastructure to go alongside those houses.
01:25Here's what Chair of the Productivity Commission had to say.
01:29So we're making it harder and harder for people to get into the market.
01:32You know, even if they do, they are now paying more on that mortgage than at any point in history.
01:39So this unaffordability challenge is real.
01:42And it's come about because we are just making it impossible to build enough houses in those
01:47areas near jobs, near transport links, near amenities.
01:52The report found that on a median income in Australia, it now takes 11 years to save for
01:58a 20% deposit on a home as compared to it taking eight years in 2005.
02:05The Productivity Commission says if we can free up these handbrakes on housing in Australia,
02:12that would make it easier for Australians to be able to buy homes.
02:16The final report, which will be handed to the Federal Government, is expected in March next year.
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