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MCKELL INSTITUTE VICTORIA The Crumbling Australian Dream: An examination of Australia’s housing sector MARCH 2021 About the McKell1. Introduction Institute Victoria The McKell Institute is an independent, not-for-profit, public policy institute dedicated to developing practical policy ideas and contributing to public debate. The McKell Institute takes its name from New South Wales’ wartime Premier and Governor–General of MCKELL INSTITUTE VICTORIA Australia, William McKell. William McKell made a powerful contribution to both New South Wales and Australian society through significant social, economic and environmental reforms. For more information visit www.mckellinstitute.org.au The Crumbling Australian Dream: Author An examination of JOSH BURNS Australia’s housing sector Josh Burns is Labor’s Federal MP for Macnamara. Born and raised in Caulfield, Josh is the grandson of migrants who left Europe and settled in Melbourne in search of a safe place to raise their families. From their experiences, Josh has learnt the importance of upholding a multicultural and multifaith Australia, and the profound role education can play in changing lives. Josh graduated from Monash University with a Bachelor of Arts, majoring in Political Studies. Josh has previously worked as a teacher’s aide and a factory hand, and served as a Senior Adviser to the Premier of Victoria, Daniel Andrews. Since being elected, he has been a passionate advocate for support for local businesses and workers during the COVID pandemic. Josh has written and advocated for an ambitious economic recovery agenda through tackling Australia’s housing affordability and homelessness crisis and investing in clean energy. Josh is deeply committed to reconciliation with our First Australians. Josh lives in Macnamara with his wife Zoe, their beautiful daughter Tia, and their dog Larry. THIS REPORT WAS WRITTEN ON THE LANDS OF THE BOON WURRUNG PEOPLE OF THE KULIN NATIONS AND WE PAY RESPECT TO THEIR ELDERS PAST AND PRESENT. Insti The opinions in this report are those of the author and do not necessarily represent the views tute of the McKell Institute’s members, affiliates, individual board members or research committee McKell members. Any remaining errors or omissions are the responsibility of the authors. THE MARCH 2021 4 MCKELL INSTITUTE VICTORIA The Crumbling Australian Dream: An examination of Australia’s housing sector 5 Contents ForEword 7 Part four: INDIGENOUS AUSTRALIANS AND HOUSING 32 INTRODUCTION 8 Part five: CRISIS ACCOMODATION 35 Our housing dream ......................................................................................................................................................................................................................................................................................................................................................................................8 State of play ...............................................................................................................................................................................................................................................................................................................................................................................................................35 What this report is about ..............................................................................................................................................................................................................................................................................................................................................................9 Labor and crisis accommodation .......................................................................................................................................................................................................................................................................................................................35 Emergency housing, DFV services, and COVID-19 ............................................................................................................................................................................................................................................... 36 Part one: HOME OWNERSHIP 11 Problems with data on family violence and homelessness .............................................................................................................................................................................................................40 State of play .................................................................................................................................................................................................................................................................................................................................................................................................................12 Current government policy................................................................................................................................................................................................................................................................................................................................................42 Current government policy...................................................................................................................................................................................................................................................................................................................................................14 Part six: POLICY PROPOSALS 46 Part two: RENTAL MARKET 16 The challenges ....................................................................................................................................................................................................................................................................................................................................................................................................48 State of play .................................................................................................................................................................................................................................................................................................................................................................................................................18 2020/21 Federal Budget – a missed opportunity .....................................................................................................................................................................................................................................................48 The residential rental market and COVID-19 .............................................................................................................................................................................................................................................................................18 Government must play a role .......................................................................................................................................................................................................................................................................................................................................49 Young Australians..........................................................................................................................................................................................................................................................................................................................................................................................19 Policy proposals ..............................................................................................................................................................................................................................................................................................................................................................................................49 Commercial rental market ....................................................................................................................................................................................................................................................................................................................................................20 1. Supply .......................................................................................................................................................................................................................... 49 Current government policy...................................................................................................................................................................................................................................................................................................................................................21 2. Emergency housing ................................................................................................................................................................................................................................................................................................................................................54