One year ago, AMP chief economist Shane Oliver estimated that Australia’s cumulative housing shortage was in excess of 200,000 dwellings.
The chart from Oliver showed that Australia’s housing undersupply began in the mid-2000s when the federal government more than doubled net overseas migration. However, the shortage was almost eradicated when immigration turned negative during the pandemic only to return in force when the international border reopened and net overseas migration rebounded to record levels.
In April, Oliver estimated that Australia’s cumulative housing shortage could be approaching 300,000 dwellings amid continued strong population growth (read immigration) and sluggish supply.
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