Housing affordability reaches new record low
Australia's housing affordability hit a record low in June 2026, with the HIA Affordability Index falling 3.1% in the quarter. This is the worst result since HIA records began in 1994.
HIA Affordability Index fell 3.1% in the June quarter 2026 — the worst result since records began in 1994.
"The HIA Affordability Index deteriorated by 3.1 per cent in the June quarter 2026" - Tom Devitt, HIA Senior Economist.
Is Australia's housing affordability crisis affecting demand for new builds?
Builders and related trades may see shifts in new housing demand as buyers are priced out, potentially affecting project pipelines and workloads.
Key takeaways
- Australia's housing affordability is at its worst level since HIA records began in 1994.
- The HIA Affordability Index dropped 3.1% in the June quarter 2026.
- Worsening affordability could reduce new housing demand, impacting builders and trades.
- The data was reported by HIA Senior Economist Tom Devitt.
Related
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Why it matters: Home builders and small residential contractors could face extra compliance paperwork and procurement requirements, adding admin time and cost to jobs without necessarily lifting building quality.
Potential Commonwealth Standards for the Construction Industry
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Why it matters: Commonwealth standards could add new compliance requirements for builders and subcontractors across residential construction. The article gives no detail yet, so the practical impact on trades is unclear.
Secure Australian Jobs Framework
The article argues that residential building and its supply chains should be exempt from the Secure Australian Jobs Framework and any related procurement obligations. It says government effort should go towards improving productivity instead.
Why it matters: Builders and the trades working in residential construction could avoid extra procurement obligations and compliance work if the exemption is granted. Otherwise, supply chain and tendering requirements may change.