Showing posts with label housing crisis. Show all posts
Showing posts with label housing crisis. Show all posts

Thursday, 17 October 2024

A solution to a vexing concern that has plagued the Lismore community since the catastrophic flood of 2022 or another relocation mirage that will dissolve over time?

 

A genuine solution to a vexing concern that has plagued the Lismore community since the catastrophic flood of 2022, another relocation mirage which will dissolve over time or a wedge allowing more farmland to be lost to urban development?


ECHO, 16 October 2024:


To assist with relocating dwellings purchased through the NSW Reconstruction Authority’s Resilient Homes program, Lismore City Council has received an exemption that could potentially open up additional rural sites for house relocations.


The Department of Planning, Housing and Infrastructure (DPHI) has granted Lismore Council an exemption allowing staff to consider the suitability of existing rural allotments where no dwelling entitlement currently exists.


Under the Lismore Local Environmental Plan (LEP), a rural allotment must meet minimum lot size requirements for a dwelling entitlement. This is generally 40 hectares or 20 hectares in some areas. Many smaller rural lots also have dwelling entitlements because of the planning controls applicable when they were created.


However, many rural allotments do not meet the requirements for a dwelling entitlement for various historical reasons, generally because they were historically part of a larger land holding.


A dwelling entitlement does not automatically mean a dwelling can be built (or relocated) on the land. It means Lismore Council can consider a DA and assess the site’s suitability for a dwelling......


Council’s Head of Planning and Environment, Graham Snow, said it’s senseless to abandon structurally sound homes when they could be relocated to accommodate people.


It doesn’t make sense that we have hundreds of abandoned houses that are structurally sound that could be housing people,’ he said. ‘The challenge is to find suitable sites where they could be relocated. The Reconstruction Authority’s Resilient Lands program will facilitate house relocations to Goonellabah, East Lismore and North Lismore sites. Still, it could be years before some of these sites are ready.


Hopefully, this exemption from DPHI will increase the opportunity for buy-back recipients and others to find suitable rural lots for our historic timber homes,’ said Mr Snow.


Things to consider


Some key points regarding re-siting dwellings to rural lots and exemption terms include:


  • The suitability of a rural site will need to consider buffers to existing agriculture and watercourses, vehicle access, biodiversity values and risk from bushfire and flooding, etc. In general terms, sites within the flood planning area will not be considered suitable.

  • The exemption from DPHI applies for two years (until September 30, 2026).

  • No additional rural subdivisions below minimum lot size are permissible. The exemption only applies to existing lots.


You can find more details and the full Fact Sheet on Lismore Council’s Future Housing page under the Relocating Dwellings tab at www.lismore.nsw.gov.au/Building-and-planning/Strategic-planning/Future-housing.


Sunday, 13 August 2023

A suspicious person might wonder if the well-heeled owners and operators of Airbnb-style short-term rentals in Byron Bay may have been lobbying both Macquarie Street and Darcy Street to protect their lucrative income earners



A suspicious person might wonder if the well-heeled owners and operators of Airbnb-style short-term rentals in Byron Bay may have been lobbying both Macquarie Street and Darcy Street concerning Byron Shire Council’s desire to place a 60-day annual cap on short-term rentals by June 2024.


With the following consequences.......


The Echo, 9 August 2023:


Byron Shire Council risks losing its planning powers to ‘independent intervention’ if it does not ‘demonstrate how it intends to improve its housing supply’.


In an aggressive letter to Council’s general manager, Mark Arnold, Sydney-based Deputy Secretary NSW Planning, Marcus Ray, outlined what he believes is Council’s failure in fast-tracking housing supply for the area, adding that Council’s development application (DA) processing times ‘are among the slowest in the state’.


In the letter, which was provided to The Echo, Mr Ray demands that Council outline ‘commitments it intends to make over the next three, six, 12 months and beyond, to deliver at least 4,522 new and diverse homes to 2041’.


It’s a target that he says Council will fall ‘well short of’.


Where is the flood data?


The demand comes despite his own department still sitting on the long-awaited 2022 flood data that will underpin further developments.


In previous years, the NSW planning department told The Echo that housing targets are set by councils, are flexible, and not enforceable.


Regarding the Independent Planning Commission (IPC) report recommendations on short-term rental accommodation (STRA), which are yet to be adopted/rejected by NSW Labor Minister Paul Scully, Mr Ray says, ‘it remains critical for Council to demonstrate how it intends to improve its housing supply before any decision on Council’s planning proposal can be made’….


Read the full article here.


Sunday, 9 April 2023

Australia's housing access & affordability crisis not going to ease in the near future


The estimated usual resident population of the NSW Northern Rivers region at the 2021 census was 311,177 men, women and children and the largest age cohort appears to be people aged between 55-69 years of age. 


These regional residents are living in est.143,846 freestanding houses, semi-detached town houses, units, flats, cabins and caravans.


From I July 2021 to January 2023 there have been a total of 2,137 new building approvals granted across the region. This represents a fall of -31 housing approvals compared to those granted from 1 July 2020 to 30 June 21. Most of these approvals appear to have been for free standing houses.


As of 4 April 2023 there are est. 700 properties on the regional rental market, with approximately half priced between $800 to $3,500 a week. In 2021 in Northern Rivers Region an estimated half of all households had incomes below $2,000 per week and only 13.1% of all households earned an income of $3,000 or more per week.


Housing markets are now at an inflection point. At a time of returning migration, they are contending with a perfect storm of high inflation and interest rates, slowing supply and record low vacancy rates.”

[State of the Nation’s Housing Report 2022–23, 3 April 2023]



Australian Government, National Housing Finance and Investment Corporation (NHFIC), 3 April 2023:


State of the Nation’s Housing Report 2022–23


Australia’s housing markets have been through an extraordinary period, impacted by COVID-19 related lockdowns, low population growth and record amounts of monetary and fiscal stimulus.


NHFIC modelling in the State of the Nation’s Housing 2022-23 suggests:


  • More than 1.8 million new households are expected to form across Australia from 2023 to 2033, taking total households to 12.6 million (up from 10.7 million in 2022). These households are expected to comprise around 1.7 million new occupied households and 116,000 vacant properties (e.g. holiday homes).


  • The much earlier increase in interest rates (relative to previous Reserve Bank of Australia guidance) is adversely impacting supply. NHFIC expects around 148,500 new dwellings (net of demolitions) to be delivered in 2022-23, before net new construction falls to 127,500 in 2024-25. A recovery in supply is expected after 2025-26 on the back of changing macroeconomic conditions and stronger underlying demand.


  • Slowing supply, together with increasing household formation is expected to lead to a supply household formation balance of around -106,300 dwellings (cumulative) over the 5 years to 2027 (and around -79,300 dwellings over the projection period 2023 to 2033).


  • From 2023 to 2032, household formation is expected to be dominated by lone person households (563,600 additional households), followed by couples with children households (533,300 additional households). Within 5 years, it is expected lone person households will be the fastest growing household type across the country.


  • NHFIC continues to expect a shortage of apartments and multi-density dwellings for rent over the medium-term. Net additions of apartments and medium-density dwellings such as town houses are projected to be around 57,000 a year (on average) over the 5 years to 2026-27, around 40% less than the levels seen in the late 2010s.


  • The premium for space at home, with ongoing work from home arrangements following the pandemic has contributed to reducing average household size. This has been a factor in sharply falling vacancy rates. Analysis shows that decreasing household size since mid-2021 led to an additional 341,500 households forming, or around 103,000 in net terms since the beginning of COVID-19.


  • NHFIC estimates that, conservatively, around 377,600 households are in housing need, comprising 331,000 households in rental stress and 46,500 households experiencing homelessness. Housing need across the country range from 208,200 households in highly acute rental stress to 577,400 households under less acute rental pressure.


Key findings:


  • Strong demand for housing coupled with tight supply of both labour and materials, and bad weather has put significant pressure on the construction industry. Approximately 28,000 dwellings were delayed in 2022. NHFIC’s industry consultation suggests builders are making cost allowances of up to 40% for unexpected delays, up from a more normal 20%.


  • In addition to higher interest rates, supply of new housing continues to be impeded by a range of factors including, the availability of serviced land, higher construction costs, ongoing community opposition to development and long lead times for delivering new supply.


  • Rental growth and rental affordability varied significantly across and within greater city and regional areas, with rental growth in regional areas now falling after a period of record demand. Rental growth in major cities such as Sydney and Melbourne are outpacing rental growth in regional NSW and Vic, which suggests the premium of living in large cities close to employment centres may be returning.


  • Rental affordability has varied greatly across the country during COVID-19. In Sydney, rents in several outer Local Government Areas (LGAs) increased more than 30% from early-2020 to January 2023 and more than 3 times that of some inner-city LGAs. Outcomes in Melbourne have been more subdued, with more than half of Melbourne’s LGAs experiencing rental increases of less than 10% since pre-pandemic. Southeast Qld has had the largest rental rises, with all 12 LGAs experiencing rental increases of 30% or more.


  • Trends in the macroeconomy can affect the ability of first home buyers to enter the market. Analysis shows that since the 1990s in Sydney, deposit hurdle rates (i.e. deposit as a percentage of income) on average increased by around 8% during an interest rate tightening cycle (-10% so far this cycle), compared with 26% during easing cycles. The average deposit required as a percentage of annual income has nearly doubled over this period from 60% to 110%.


Download the report

State of the Nation's Housing Report 2022-23 (pdf 3.75 MB) https://www.nhfic.gov.au/sites/default/files/2023-03/state_of_the_nations_housing_report_2022-23.pdf



In the detached market, in the 12 months to January 2023, average capital city price growth dropped to -4% after peaking at 23% in the last quarter of 2021.


Sydney and Melbourne were most impacted, with house prices falling around 15% and 11% respectively over the12 months to January 2023. House price growth was still relatively strong in Adelaide (6%) followed by Darwin (5%) and Perth (3%).


Detached house price growth in regional NSW, Vic, Qld, SA, WA and Tas outpaced growth in capital city areas of these states. The strongest regional price increase was in regional SA”

[State of the Nation’s Housing Report 2022–23, 3 April 2023]



According to the Reserve Bank of Australia, 16 March 2023:

 

The share of households that rent has risen over the past few decades, mainly in the eastern states. This reflects a rise in the proportion of private renters as home ownership rates have declined. The share of households in public housing has also declined, as growth in public housing stock has not kept pace with growth in the total number of households. Rent assistance to private tenants has also become a more common way of providing housing assistance to lower income households……


The average and median incomes of renter households are generally lower than owner-occupiers across age groups.... However, the share of private renters who are in the top half of the income distribution has risen over time as the share of private renters in higher paid jobs, such as professional services, has increased. This shift has coincided with an increase in the average age of first home buyers and a decline in the home ownership rate among younger households…..


Renters, especially those on lower incomes, tend to spend a larger proportion of their incomes on basic living expenses and have less spare cash flow (i.e. income available to spend on discretionary consumption or save), relative to those who have a mortgage. Renters also tend to have lower savings buffers. In combination, these factors can make renters more vulnerable to increases in the cost of living and make it more difficult for these households to accumulate wealth over time, compared with owner-occupiers….


Nearly 90 per cent of all households in the lowest wealth quintile were renters in 2019/20. This in part reflects that renters tend to be younger than other types of households and so have had less opportunity to accumulate savings over time. However, renters also tend to have lower wealth compared with owner-occupier households even after controlling for age and income....


The Australian Bureau of Statistics Monthly Consumer Price Index (CPI) showed that Rent CPI stood at 1.0% in April 2022 and had risen to 1.6% by May - then risen again in July to 2.0%, August 2.4%, September 2.9% & December 4.1%. 


The start of a new year saw the Rent CPI at 4.8% in January & February 2023. The next release of monthly CPI data occurs on 26 April 2023.


Saturday, 25 February 2023

Tweets of the Week

 

 

 

Wednesday, 22 February 2023

Northern NSW State of Play 2023: seven days out from the first anniversary of that catastrophic unnatural disaster, the Lismore & Northern Rivers Floods of 2022



 

The Guardian, 20 February 2023:


In February the hills and valleys of the New South Wales northern rivers are green and lush and fertile in the late summer sun. There is brightness in the madly proliferating tropical flora, radiance in the golden hour of the evening.


In the towns the mud has gone, mostly, and the smell too has faded; a semblance of normality returned to the main streets. As the foliage has returned, the devastation of the 2022 floods is more hidden now; the scale of what happened. The people who are changed.


As the anniversary of the disaster approaches, along with the cyclone season, for those left in the flood’s wake the impact is still unfolding. When the flood waters receded a year ago, for many, the disaster was only beginning.


You could hazard a guess that something like 15 to 20,000 people were impacted,” says Professor James Bennett Levy from the University of Sydney Centre for Rural Health. “I would say there’s been huge collective trauma as well as individual trauma.”


If I am doing a community event,” says Naomi Vaotuua, recovery and resilience officer for the Red Cross, “I will literally have grown men crying in my arms because it’s a cloudy day and they thought they were doing alright but they have been triggered.”


Kerry Pritchard, coordinator of recovery Hub 2484 in Murwillumbah, says: “I guess what is surfacing now is more residual complex trauma. We feel like we are still very much in the middle of it, at the coalface of supporting people. That is both in terms of rebuilding in a physical sense and also healing from that traumatic event.”


The northern rivers floods were Australia’s biggest natural disaster since Cyclone Tracy in 1974. It was the second-costliest event in the world for insurers in 2022, and the most expensive disaster in Australian history. Many residents had found premiums unaffordable and had no insurance at all.


The Northern Rivers Reconstruction Corporation (NRRC), funded by the federal and NSW governments, is currently assessing over 6,000 flood-impacted residences for buyback, raising or retrofit.


A survey released this month by Southern Cross University revealed that nine months after the event, at the end of 2022, almost 52% of flood victims were living in the shells of homes that had flooded; 26% were living in temporary accommodation such as caravans, sheds or pods, or with friends or family; 18% were living in insecure accommodation such as tents or temporary rentals; and 4% were no longer living in the region.


The departure of thousands of locals is one of the things that broke the heart of city councillor and executive director of Resilient Lismore, Elly Bird. “They are disconnected from their community and the people they went through that experience with and disconnected from our recovery journey and support. They are probably having a hard time,” Bird says.


Hanabeth Luke, senior lecturer in science and engineering at Southern Cross University, and one of the researchers behind the survey, said she was “shocked to see the low, low levels of mental health. Twenty percent of people said they were coping with the stresses and challenges of recovery and 60% said they were not coping.”


It is the housing uncertainty causing mental health strain, Luke says; the stress of “not being able to move forward, making do without a clear plan”. People live in substandard dwellings while they wait on government assessments or insurance payouts, not knowing whether to fix a house or if they might get a buyback. People camp out in caravans outside dilapidated abandoned houses, houses they are still paying mortgages and rates for. Families squeeze into a single motel room where they are not allowed to cook or have their pets.


Up until last month, the Koori Kitchen was still serving around around 700 free meals a day at Browns Creek car park in Lismore, says Koori Mail general manager Naomi Moran. It was forced to close as the council wanted the car spaces back to help support local business recovery.


These things take their toll.


What has been found is that the more you were likely to have been scared of injury or death, the higher the likelihood of PTSD,” says Bennett Levy. “Similarly, the more extensive the inundation the more likelihood of significant mental health issues. If we go back to the data we can say that the people who are displaced from home for more than six months are at very high risk of PTSD.”


Pritchard sees the data borne out in real life. “A year out and people are just worn down, they’re exhausted, they’re losing hope and just can’t see the light at the end of the tunnel. We’re seeing a lot of suicidal ideation.” People who have always worked hard and supported themselves find themselves having to ask for help, she says. “There are a lot of feelings of shame and impotency around that.”


Those who could afford insurance are now coming to the end of the 52 weeks of temporary accommodation paid for by their insurers. For those locals, there is anxiety about whether they will get into the 11 pod villages built by Resilience NSW across the region. The villages aim to house 1,800 people for up to three years. Another 300 people are still in emergency accommodation…..


Read the full article here.



Southern Cross UniversityNew Southern Cross study reveals ongoing housing and mental health challenges for flood-affected, 7 February 2023:


A new Southern Cross University survey has shown almost 50 per cent of Northern Rivers flood victims were still displaced nine months after the devastating floods and landslides of 2022.


The survey, conducted by Southern Cross researchers in the latter months of last year, aimed to gain a better understanding of the ongoing struggles faced by flood-affected communities. The results paint a stark picture.


Of the 800 survey respondents, 52 percent were back living in a home that had flooded, while 26 per cent were either living in temporary accommodation such as caravans, sheds or pods, or with friends and family. A staggering 18 per cent of people reported they were living in ‘other’ insecure or crisis accommodation such as tents or temporary rentals and four per cent were no longer living in the region.


One fifth of respondents reported it was hard to find out what support was available to them, suggesting insufficient variety in information channels used to communicate with flood-affected residents. Additionally, nearly one third of insured survey respondents reported being ineligible for an insurance payout, and many cited excessive bureaucracy as a major barrier to accessing funding for recovery efforts. Survey respondents had to fill out an average 6-8 forms each to receive any financial assistance.


The Insurance Council of Australia estimates the cost of the 2022 east coast floods to be around AUD $5 billion in insurance damages. The Southern Cross survey results showed that while the most common cost of the flood was between $201,000-$500,000 to each respondent, the most common maximum amount received at the time of completing the survey was a tenth of that, at $21,000-$50,000.


"The findings of this survey are a sobering reminder of the ongoing impact of the floods on the Northern Rivers community," said lead researcher Dr Hanabeth Luke.


Flooding has affected dozens of rural and urban communities around the country and continues to do so, most recently in Western Australia. There are important learnings from this that can guide us and others to be better prepared next time,” she said.


Elly Bird, Executive Director of Resilient Lismore – a community organisation and partner in the survey – said "just 20 per cent of respondents report they are coping with the stresses and challenges of recovering from the floods, and more than 80 per cent agree that community hubs have been essential to their recovery.


Nearly 60 per cent of respondents still need help with access to tradespeople, and more than 45 per cent require access to building materials. This is holding up the recovery and needs to be addressed urgently.”


Many respondents reported not ‘being able to plan’ as a significant challenge.


The majority (96 per cent) of survey respondents saw community preparedness as most important for mitigating future events, with engineering solutions receiving a lower level of support than all other options.


"This study is a crucial tool in the ongoing efforts of our community to build back. Tapping into the experiences of those affected will help shape services and streamline processes and hold us in better stead for future events,” said Ms Bird.


Download the survey results here [PDF]





https://youtu.be/vfAF60gjnMA