RBA’s Hunter Sees No ‘Quick Fix’ to Australia’s Housing Crisis
- Australia is facing its worst housing crisis in living memory
- Central bank sees several potential avenues to fix the problem
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Australia’s central bank is “closely watching” how the current supply-demand mismatch in the housing market unwinds, while warning “it will not be a quick fix,” Assistant Governor Sarah Hunter said on Thursday.
“Demand pressure, and so upward pressure on rents and prices, will remain until new supply comes online,” Hunter said in a speech in Hobart, Tasmania. “We expect this response to take some time to materialize, given the current level of new dwelling approvals and the information from liaison that many projects are still not viable.”