Delivering More Affordable Housing: An Innovative Solution

This National Housing Finance and Investment Corporation paper focuses on harnessing the contributions from different stakeholders – federal and state governments, institutional investors and community housing providers – bringing together the most efficient financing mix to drive more housing supply.

It finds the upfront costs of delivering social and affordable housing could be cut by around 80 per cent using an innovative funding model.

Financial modelling shows how different combinations of federal, state and private sector support – and tenure mix and geographic location – can narrow the funding gap for community housing. It demonstrates that existing government resources such as underutilised land can be used more effectively to build more community housing across Australia.

Key Points

  • The growth in the community housing sector has been constrained by low rental returns despite a growing need for its services.
  • The demand for social housing will continue to increase, with recent research suggesting over 700,000 new social dwellings will be required over the next 20 years.
  • This new collaborative approach reduces the amount of additional state government funding support needed to deliver more social housing.


Read the web report here.