Experts Criticize Labor, Coalition Housing Policies Amid Supply Shortages

With the Australian federal election approaching, housing policies from both major parties are under intense scrutiny. Labor and the Coalition have proposed measures aimed at first-time home buyers, such as reduced deposit requirements and tax-deductible mortgage interest payments. However, economists and experts criticize these policies for failing to address the core issue of housing supply, instead risking increased demand and higher prices. Analysts like Chris Richardson and Saul Eslake have harshly labeled these policies as inadequate, while former Prime Minister's Department Secretary Martin Parkinson criticized the Coalition's proposals as irresponsible. Experts argue that the focus needs to shift from demand-driven measures to increasing affordable housing supply for a sustainable solution. The current election discourse is seen as lacking in substantive policy reform, emphasizing political gain over effective solutions.