Politics

Federal housing targets slip as Perth faces deepening shortage

Australia's building crisis worsens as the government falls behind, intensifying Perth's affordability crisis and straining local markets.

By The Daily Perth · Published 25 July 2026

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This article was written by AI from the linked sources and was not reviewed by a journalist before publishing. The Daily Perth is part of The Daily Network and follows our reasonable editorial care.

The federal government is falling behind on its ambitious home construction targets, according to the housing industry's warning reported by watoday.com.au. This shortfall threatens to deepen Australia's existing housing shortage at a time when demand for affordable homes remains critically high.

For Perth, a city already experiencing strong population growth driven by migration and resources sector expansion, the national construction slowdown carries significant implications. Perth's property market has surged in recent years, with house prices breaching the $680,000 mark and affordable suburbs becoming increasingly scarce. If the federal government fails to meet its building targets nationally, Perth may experience continued upward pressure on housing costs as supply struggles to keep pace with demand.

The warning from the housing industry suggests that without accelerated construction effort, Australia's home shortage could worsen further. For Perth residents, particularly first-home buyers and renters, this underscores the urgency of addressing supply-side constraints. The federal government's performance against its construction targets will be closely watched by local property advocates and economists tracking Perth's affordability crisis.

Sources: watoday.com.au.

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