THE URBAN DEVELOPMENT INSTITUTE OF AUSTRALIA (UDIA) is Australia’s peak representative body for all segments of the urban development industry.

Potential hit to new home prices


The Urban Development Institute of Australia has raised serious concerns about proposed changes to the Australian Construction Code that could lock even more Australians out of the housing market.

National Executive Director Kirk Coningham said moves are afoot to codify ‘zero carbon’ provisions that could significantly add to the cost of every new home in Australia.

“We can all see the sense of investing in energy efficiency. But the difference between double and single glazing can be the difference between home ownership and a lifetime of renting. Future savings are only relevant if you can squeeze together enough to buy in the first place.

The Australian Sustainable Built Environment Council and ClimateWorks Australia has recommended committing to a ‘zero carbon ready building code’ creating a pathway of increased regulation to 2030, including substantially increasing requirements for residential buildings in 2022. There are also proposals to further expand the scope of the code to bring regulation into new areas.

“Including these measures in the building code strips potential home owners of a very popular choice to enter the market at a basic, budget conscious level, and make improvements over the life of the home,” Mr Coningham said.

“And the cost is not just in the double glazing, insulation, ceiling fans and other demands. It’s in the regulatory and inspection environment this creates with inevitable delays and other costs.

“Home buyers have access to all the data they need to make informed choices about long term energy efficiency. Forcing efficiencies through via regulation, rather than education, removes this choice – and for some the dream of home ownership.

“Home buyers and builders do contribute to a zero carbon future and energy efficiency, increasingly opting for innovative building materials and designs, but this can’t be at the expense of home ownership.

“Housing is already far too expensive in Australia. This year Demographia ranked Australia the third least affordable country in the world behind New Zealand and Hong Kong. Any proposal to further increase the cost of housing must be carefully scrutinised.

“The heartfelt stories of potential home buyers locked out of the market, stories UDIA members hear every day, must form part of these deliberations.”

Potential hit to new home prices:

  /Media-Releases/180712 Media release - Potential hit to new home prices (FED).pdf

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