A report from the Property Council of Australia analyses the challenges of housing affordability for essential workers on typical incomes in 12 LGAs across the state including Gosford, Newcastle, Parramatta, and Wollongong.
Property Council Central Coast and Hunter Regional Director Amy De Lore said the report compares median incomes and housing costs in 2024 with data from the last major housing crisis in 2007. The findings paint a bleak picture for essential workers in Gosford and surrounds.
“Housing affordability has hit breaking point for essential workers in the region, with a median priced home now beyond reach and in some cases beyond hope.,” Ms De Lore said.
“In 2007, the median house price in Gosford was $347,500. Today, it’s soared to nearly $935,000—a staggering 169 per cent increase. At the same time, wages for essential workers have failed to keep pace.
“Renting isn’t much better, with median weekly rents for houses in Gosford jumping by 107 per cent over the same period,” Ms De Lore said.
The Property Council’s research draws on data from Pricefinder and CoreLogic, analysing the affordability of homes and apartments. The study measures average household incomes for essential workers, such as teachers and nurses, against median housing costs.
The report highlights the urgent need for bold reforms to unlock affordable housing, including addressing the significant impact of government taxes and charges on development feasibility.
“One of the primary solutions to the housing affordability crisis is increasing the supply of new housing, particularly homes that are accessible to essential workers,” Ms De Lore said.
“Our recommendations include calls for reform of the high taxes and regulatory costs that impact housing affordability, together with a moratorium on any new development charges.
“These changes would lower the upfront cost of new dwellings and stimulate competition among developers, leading to increased supply and lower prices.”
Among other recommendations, the report also calls on the State Government to expand rezoning flexibility in high-demand areas to support the Transport Oriented Development reforms, streamline approval pathways and accelerate the release of surplus or under-utilised government-owned land for residential development.
It recommends consideration of financial incentives to stimulate housing projects aimed at essential workers and opportunities to develop more affordable housing through public-private partnerships and Build-to-rent development.
“The findings are clear: The affordability crisis is real, and its impact is felt most acutely by those who provide the essential services that keep our region running,” Ms De Lore said.
