9 minute read
Michael Mowle - Business Voice
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BUSINESS VOICE
with MICHAEL MOWLE
PRESIDENT PORT MACQUARIE CHAMBER OF COMMERCE
The current housing market is undoubtedly overheated with soaring prices in metropolitan and regional areas right across Australia. As a desirable seachange destination Port Macquarie is one of the ho est real estate markets for both buyers and tenants alike.
Corelogic reports that house prices have risen by 10% across regional areas in the last year. Anecdotal evidence suggests that the actual prices rises over that period are much higher along the Mid North Coast. Many people are rightly concerned that this is creating a dangerous bubble of housing debt whilst at the same time pricing fi rst home owners out of the market indefi nitely. It is of serious concern that future generations may have less opportunity to afford their own home and thereby attain some form of fi nancial independence.
Several factors are driving the market including high demand, lack of supply, very low interest rates and various government sponsored fi rst homebuyer incentives. Australians returning from overseas and an increase in migration to the regions post COVID has created much of the demand in desirable areas such as Port Macquarie.
A key element infl uencing the cost of housing is the supply of zoned land provided with road networks, sewer, water and services. The complex and cumbersome NSW planning system has often delayed the supply of readily developable land being brought to market. Duplication of bureaucracy by Local, State and Federal Governments places an increasing burden of compliance, delay and cost on the housing industry which is ultimately passed on to purchasers.
In any open market an increase in supply helps contain price increases, so both council and state government can infl uence housing affordability by approving more zoned land for housing. Despite several attempts at reform, the NSW Planning Legislation has recently become even more complex and cumbersome with the imposition of Sydney-based regulations on our local land development sector.
A recent Daily Telegraph editorial praised the NSW Planning Minister, Rob Stokes, for announcing the release of an additional 18,000 lots in Western Sydney. This editorial went on say that whilst this is a “good start” the Minister needs to keep going with further land releases in NSW. Evidence strongly indicates that regional growth areas like Port Macquarie also need more residential land to meet our housing demands.
Another key aspect of housing prices is the government levies and taxes being added to the base land value and housing production costs. For example, a $650k house and land package in Port Macquarie’s new release areas would typically include combined government taxes, fees, charges and levies of approximately $90,000 or 14% of the purchaser’s cost. Close scrutiny is required on this revenue stream to identify any potential reductions that would improve affordability.
To their credit the NSW Government currently continues to provide stamp duty relief to fi rst home buyers. A plan has been fl oated by the NSW Treasurer to allow purchasers the option of replacing the current upfront stamp duty with ongoing annual land taxes. This is simply converting the upfront duties into a long term liability for the home owner and even more revenue for government. Stamp duty charged should simply refl ect the actual service provided by Revenue NSW in any sale transaction, which would amount to several hundred dollars at most.
Housing affordability has also been impacted over time with building costs rising above CPI for decades due to increasing building code requirements. The average new house today requires BASIX (insulation/energy effi ciency/ water tanks etc.), bushfi re protection, acoustic measures and more robust foundation designs than those of decades past.
This combined with consumer demand for higher building standards, internal fi nishes (eg. stone benchtops, butlers kitchens etc.) and a signifi cant increase in the size of houses to include double garage, en-suites, covered entertainment areas and theatre rooms results in an overall build price currently between $1500$1600 per square metre. An average new home in 2021 is now around 220-230 sq.m in size at a built cost of $350,000.
Many contributing factors are affecting housing affordability including high demand, low interest rates, constrained land and house supply, high taxation, compliance burdens, increased building standards, and higher consumer expectations. Fluctuations in supply and demand will ultimately dictate house prices and hence affordability. However, all levels of government have a major role to play in adjusting policy settings, minimising taxes, ensuring that red tape is minimised and duplication of compliance eliminated.
CHRIS SIMON OPTUS
LIVING NETWORK
What is Living Network?
The Optus living network is, as the name suggests, our network brought to life. This is done via ideas that humanise the user experience. For the first time, and controlled through My Optus App (from the App Store and Google Play), our customers embrace a truly flexible network that’s in their control and available on their terms. It’s a collection of on-demand network features.
What type of features are included?
There are a number of features and services which are currently available as part of Optus’ Living Network suite with more on the horizon. Customers can utilise adaptive services like Unlimited Data Days and Game Path, letting you boost your data or activate priority network capacity, so no matter what pops up in your day, you’re ready to take it on. It’s about taking control of your connection and making the network your own. However the Living Network is so much more than world-class connectivity. With Optus Pause, you can take a digital breather with your loved ones by pausing your mobile and home WiFi connections in My Optus App. Or to help the wider community, you can share your excess data through services like Donate Your Data. It’s about using the network for what matters to you. In fact, the Donate Your Data option has already seen over 2.9 million GB donated to help young Australians access internet connectivity to help with their studies.
So what’s on the horizon?
The Living Network is committed to supporting every individual through advanced technology. Soon, different language speakers will be able to translate phone conversations between two different language speakers, in real time with Call Translate. It will be available through My Optus App, so those learning a new language can express themselves with confidence or those connecting with relatives abroad who may not share the same primary language.
Why are Optus passionate about this?
For nearly three decades, Optus has been providing customers with options – in fact, it’s why we were created and doing things differently. From the way we connect to how we build our network, we’re motivated to do better by our customers.
How do think this will benefit the Hastings community?
Features like Optus Pause will give families more control. We live busy lives and sometimes we’re guilty of providing the kids with a little too much screen time. Optus Pause will put the control firmly in the parent’s hands, providing a better opportunity to reconnect as a family. Plus access to unlimited data day is incredible, providing users with the choice to ramp up their data allowance to enjoy a streaming binge!
And finally, Optus have been busy across the region increasing mobile coverage. Can you tell us more about that?
That’s right. In 2021 we’ve switched on a new mobile site at Lindfield Park Road, providing improved coverage and data speeds for users in Innes Lake and surrounding areas. Plus we recently completed in building coverage works at the Port Macquarie Base Hospital, ensuring, patients, visitors and our incredible health professionals have access to reliable mobile coverage. With over 6 Billion dollars invested in our mobile network across Australia since 2015, it’s never been a better time to be with Optus.
Thanks Chris.
Dr David Gillespie MP
FEDERAL MEMBER FOR LYNE
INVESTING IN MEDICARE
Our Government’s commitment to Medicare is rock solid, the 2021-22 Federal Budget increases funding for Medicare by $6 billion over the Budget cycle. Commonwealth Medicare funding has increased from $19 billion per year in 2012/13 to approximately: • $30 billion in 2021-22 • $31 billion in 2022-23 • $32 billion in 2023-24 • $33 billion in 2024-25
Since 2013, the Australian Government has approved more than 2,677 new or amended medicines listings on the Pharmaceutical Bene ts Scheme at an overall investment by the Government of $13.2 billion. This represents an average of around 30 listings or amendments per month – or one each day. Our Government is also making a signi cant investment in preventive health and women’s health comprising: • $1.9m for the National Preventive Health Strategy • $119m for new cancer measures • $6.9m Lung Cancer Screening Program • $67.6m Breastscreen Australia Expansion • $33m National Cervical Screening • $12m National Cancer Screening Register Operation
MENS SHED GRANTS NOW AVAILABLE
As part of Men’s Health Week, the Australian Government is encouraging Men’s Sheds across the country to apply for funding as part of the newest round of the National Men’s Shed Development Programme. Men’s Sheds can apply for nancial support across the following funding categories: • Category 1: Health, Wellbeing, and Events $8,000 maximum • Category 2: Shed Improvements $8,000 maximum • Category 3: Equipment $5,000 maximum For more information or to apply visit
www.mensshed.org/development-grants/
SAFER COMMUNITIES FUND
This round of the Safer Communities Fund gives schools and preschools, community organisations and local councils grants of up to $500,000 for crime prevention initiatives aimed at reducing crime, violence, anti-social behaviour and/or other security risks. Grants available are between $10,000 and $500,000, for project activities which include the installation of security infrastructure such as: • Fixed or mobile cctv cameras • Security lighting • Fencing and gates • Bollards • External blast walls and windows • Security and alarm systems • Public address systems • Intercoms and swipe access • Security doors.
Dr David Gillespie MP
FEDERAL MEMBER FOR LYNE
He Listens. He Cares. He Delivers.
Wauchope Office
02 6586 4462 Corner of High and Hastings Streets,
Wauchope, NSW 2446 david.gillespie.mp@aph.gov.au
Taree Office
02 6557 8910 144 Victoria Street,
Taree, NSW 2430 DavidGillespieMP david_gillespie_mp davegillespiemp
