Victorian budget continues delivery of Australia’s highest housing supply

The commitment to executing ongoing reform is pleasing. More should be done to ensure that home prices continue to fall.

Victoria builds the most homes, and is poised to continue doing so

The Victorian budget provides funding for ensuring the delivery of the greatest housing choice in the country: building more apartments (11,307 units) than Sydney, and more greenfield (12,191 homes) than Perth.

It is important to note that this nation-leading rate of construction has taken place in the context of real term falls in house and unit prices since 2022.

The continued commitment to land use and planning reform is what will enable Victoria to continue delivering homes, even in a challenging macroeconomic context. Victoria is currently projected to get very close (94%) to meeting its National Housing Accord target, compared to New South Wales (69%).

Housing affordability success shows the fragility of stamp duty as a revenue source

YIMBY Melbourne welcomes the State Government’s renewed commitment to Stamp Duty concessions. We also welcome falling house prices.

But revenues from stamp duty have decreased due in part to the range of concessions and in part due to falling home prices. This demonstrates that stamp duty is not only a bad tax for Victorians, but also a bad tax for the Victorian Government.

As per previous YIMBY Melbourne advocacy, the Federal Government should assist Victoria and other states in transitioning away from stamp duty and toward a broad-based land tax.