Land prices fall ‘but still too high’

LAND in the Barwon region has become slightly more affordable, according to new data.
RP Data figures showed the region’s median land price had fallen from $185,000 last year to $183,000, sliding from Australia’s fifth most expensive to eighth.
The Independent reported last month that Geelong was the 19th most unaffordable property market out of 378 major international centres. Geelong ranked alongside the ex-urban area of outer London for unaffordability in the 11th annual International Housing Affordability Survey.
Housing Industry Association senior economist Shane Garrett said Australian regional residential land sales demonstrated “the classic hallmarks of a market fast running into supply problems”.
“There are clearly pressures building in terms of new residential land supply,” Mr Garrett said.
“The process of delivering new land supply and the requisite infrastructure for new housing is currently too slow and too expensive.
“It appears that shovel-ready residential land is starting to dry up against the backdrop of record new home building activity.
“Policymakers have to intervene in order to allow for Australia’s long term housing needs to be met.”