Getting Real 2.0 by RealEstateInstitute

THE SECOND EDITION

Getting Real ABOU T A USTRALIA’S HOUS I N G CRISIS

REIA’S STRATEGIC POLICY AGENDA NOV 2023

1924

Acknowledgement of Country The Real Estate Institute of Australia (REIA) acknowledges the Traditional Owners of Country throughout Australia. We pay our respect to them, their culture and their leaders, past, present and emerging.

Disclaimer REIA is a federation of state and territory Real Estate Institutes. Formed in 1924, it represents the real estate industry in Australia at national and international levels. Real Estate House 16 Thesiger Court, Deakin, ACT PO Box 234, Deakin West, ACT 2600 Phone: (02) 6282 4277 Website: www.reia.com.au Email: reia@reia.com.au All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by means of electronic, mechanical, photocopy, recording or otherwise, without the prior consent of the publishers. If using REIA data for research purposes, please acknowledge that this data is sourced from REIA. © 2023 REAL ESTATE INSTITUTE OF AUSTRALIA ISSN: 1447 6606 Registered by Australia Post. Publication No. PP 299436/00045

GETTING REAL 2.0

Contents 04 President’s Message 06 Australia’s Housing Crisis at a Glance 08 The Australian Housing Spectrum Pulse of Australia’s Real Estate 09 The Landscape

Getting Real 2.0 Policy Priorities 12 Policy Priority 1

A Home for All Australians

16 Policy Priority 2

Safeguarding our Digital Domain

20 Policy Priority 3

The Sustainability Paradox

24 Policy Priority 4

Upholding Ethics in Real Estate Transactions

28 Policy Priority 5

Better Places and Spaces

From Policy to Practice: Our Advocacy in Action

33 How Getting Real 2.0 Got Here 40 Getting Real 2.0 Triage

THE SECOND EDITION

President’s message It is time to Get Real About Australia’s Housing Crisis. Every Australian dreams of a secure home - a cornerstone of their future. But for many, this aspiration is hindered by our nation’s deepening housing crises. Getting Real 2.0 delivers tangible, achievable, community-centric policies from the Real Estate Institute of Australia designed to tackle the severe shortage of housing supply across the nation. Following our inaugural Getting Real from October 2021, launched amidst COVID-19 lockdowns, this edition emerges in a different landscape. Not only has the pandemic’s global health emergency status receded, but Australia has also seen a change in Federal Government. This, along with challenges like spiralling inflation and rising interest rates, brings a new dynamic to the fore.

GETTING REAL 2.0

There is no single issue in the minds of Australians – as

collaboratively tackle these issues - future-proofing our

property consumers, taxpayers, and voters – that is

nation. The real estate industry will be central to that

more prominent and more urgent than Australia’s

success.

housing crisis. I thank our member State and Territory Real Estate The housing crisis has been described as abysmal, as a

Institutes and other members of the industry for the

handbrake to Australia’s economy and a catastrophic

research collation and continued consultation on this

failure of government foresight. It is all these things

over 2023.

and more. Together, we can influence to deliver practical At REIA, we are optimistic that a collaborative, well

solutions to the housing crisis for the benefit of all

considered and clear plan for injecting housing supply

Australians.

into the community will solve many of the housing challenges we face.

Yours faithfully,

Accordingly, Getting Real About Australia’s Housing Crisis isn’t just a title - it's our mandate. It outlines the necessary steps - both strategic and

HAYDEN GROVES

pragmatic - for the industry and government to

REIA President

A Personal Message from the President on the Housing Crisis and the Insights of the 'Getting Real' Report

GETTING REAL 2.0

Australia’s HOUSING CRISIS AT A GLANCE In the whirlwind of the past year, Australia's housing crisis has cemented its place at the forefront of national discourse. As media headlines ebbed and flowed, they painted a vivid picture of the multifaceted challenges we face. From economic pressures and shifting consumer behaviours to the looming shadow of environmental concerns, each headline offered a snapshot into the evolving landscape. Here, we've collated the defining headlines, providing a concise overview of the key economic, consumer, and environmental factors that have been instrumental in shaping our Getting Real 2.0 strategy.

4.35%

45.9%

23.4%

RBA Cash Rate.

National household income to home loan ratio.

National household income to rents paid ratio.

2.4% Annual increase in median house prices across 8 capital cities.

3.2% Annual increase in median house rents across 8 capital cities.

GETTING REAL 2.0

Current vacancy rates fall below a healthy 3%:

Darwin 3.0%

Commitment to build 1.2 million new homes by 2030 as part of the National Housing Accord. Brisbane 1.0%

Perth 0.8%

Sydney 1.5% Adelaide 0.6%

Canberra 2.0%

The average property holding duration is 13 years.

Melbourne 2.1% Hobart 1.8%

A projected shortfall of 106,000 homes by 20242025.

There's a 99.3% sustainability premium per square metre for homes with a good EER (Energy Efficiency Rating).

70% of all commercial tenants are willing to pay more for sustainability-certified buildings.

Approximately 60% of commercial and industrial properties have a Grade B rating between 3.5 and 4.0 NABERS stars.

78% of all real estate agencies express concerns about the threat of cyber-attacks.

30% of all real estate agencies consider data privacy and security a major barrier to implementing new technology.

GETTING REAL 2.0

The Australian HOUS I N G SPECTRUM

0.5% Homelessness Managed by homelessness providers and State Governments.

3% Public, Social & Affordable Housing 20% of income to rent (public) and 30% for social and affordable. Managed by community Housing Providers and State Governments.

27% Private Rentals Primarily supported by property managers and owned by family investors.

15% First Time Buyers Graduating out of private rentals or other accomodation into home ownership.

67% Homeowners 0f these, 37% had a mortgage.

Source: NHFIC, ATO

GETTING REAL 2.0

$3 Trillion

2.7 Million

75%

Assets under management, showcasing the industry's vast reach.

Rental properties across Australia.

Of rental properties are expertly managed by professional agents.

$78 Billion

46,793

78,000

Annual flow from rents, highlighting the industry's economic weight.

Real estate agencies ensuring vibrant market operations.

Active real estate licences held across Australia.

The Pulse of Australia's Real Estate LAND S C A PE 2023

99%

130,000

Of agencies are small businesses, forming the backbone of the real estate sector.

Professionals employed, spanning diverse roles from agents to support staff.

2.2 Million

6.9 Million

13%

Investors providing homes for a vast renter population.

Australians who transitioned into new homes last year.

Contribution of real estate to Australia's GDP, underscoring its economic importance.

Getting Real 2.0 POLICY PRIORITIES

The following REIA policy priorities not only address today’s needs but chart a path for a resilient future.

2 0 2 3

OUR POLICY PRIORITIES

As our nation evolves, so does the real estate landscape. Navigating challenges and seizing opportunities requires foresight and strategy.

For real estate practitioners, these are more than just guidelines; they’re the key to building trust, amplifying listing potential, and ensuring sustainable profits in a dynamic market.

A Home for All Australians 1

Increase supply

Build more homes.

Remove wicked problems

Eliminate supply chain pain points.

Utilise existing housing inventory

Enhance utilisation of current home assets.

Safeguarding our Digital Domain

The Sustainability Paradox

Future proofing our industry.

Promoting stability and longevity.

Upholding Ethics in Real Estate Transactions Ensure property customers are safeguarded and informed.

GETTING REAL 2.0

Better Places and Spaces Enhance Australia’s appeal as an attractive place to live and invest.

Policy Priority 1 A HOME FOR ALL AUSTRALIANS

AT A GLANCE Addressing the housing supply shortage is top of mind for our industry. As we delve deeper into the data and trends, the urgency and magnitude of the situation become evident. Australia remains starved of housing supply; and supply

To unlock housing supply, REIA has restructured our

was the highest-ranking issue by our Real Estate

supply policies to focus on:

Institutes (December 2022).

Unlocking existing housing inventory, Removing wicked problems; and

Since June 2021, housing and rental supply shortfalls

Building more houses.

have dominated markets, media headlines and political agendas. The National Housing Finance Investment Corporation (NHFIC) projects a staggering supply shortfall of around 106,000 dwellings by next financial year (April 2023). At the same time, State, Territory and Federal Governments have committed to the National Housing Accord, which aims to return to pre-COVID completion levels to build 1.2 million new homes by 2030 (August 2023).

Critical National Processes The National Housing Accord. The National Housing Supply and Affordability Council. The Intergovernmental Agreement on Housing and Homelessness. The Housing Australia Future Fund. The National Plan for Housing and Homelessness.

GETTING REAL 2.0

REIA’S POLICY POSITIONS Ensuring sufficient housing supply is a complex issue that demands collective determination and collaboration to align supply with Australia’s future housing needs. REIA's policy positions aim to provide a comprehensive roadmap to address the current challenges and anticipate future needs.

Roadmap to Reform A HOME FOR ALL AUSTRALIANS

Unlock Existing Inventory

Remove Prob

Unlocking existing inventory is essential to address the ongoing housing supply shortage and stimulate the real estate market.

Addressing entrench requires a systematic approach.

Proposed Strategies

Phase out stamp duty and consider more dynamic taxation options.

Conduct comprehensive

Identifying and releasin development. Assessing vacant housi government.

Encourage revision of lending criteria to encourage more housing investment, including reduction of buffer requirements and risk weighting for private property investors.

Develop an ‘as of right’ n

Collaborate with Local Governments to unlock existing housing inventory.

Task the Federal Govern Governments to expedite

Take a balanced national approach to Residential Tenancy laws that does not impede supply. Develop incentives to reintegrate vacant properties into the rental market. Promote the benefits of property investment as an asset class.

Look at supportive measures to assist ‘downsizers’ in transitioning from family homes.

Comprehensively review property taxation, and co a temporary measure of directing all property tax revenue towards housing initiatives.

Consider having the gove construction phase of hou their completion.

GETTING REAL 2.0

Wicked lems

Build More Houses

ed challenges c and strategic

Expanding the housing stock is essential to address the surging demand and to keep properties affordable for all Australians.

Proposed Strategies

audits and action plans for:

Governments to develop, fund and deliver the National Plan for Housing and Homelessness.

ng land suitable for housing

The Federal Government to ensure the next Intergovernmental Agreement on Housing pays on delivery of housing supply targets.

ng across all tiers of

national planning framework.

Champion successful projects and financial models that are delivering increased supply and variety of housing in key locations.

ment with incentivising State e planning processes.

The Federal Government to explore, support and promote non-traditional sustainable building methodologies to reduce on-site construction times.

onsider supply

rnment guarantee the using projects to accelerate

Consider a Defence Housing Australia inspired program to secure investment and expedite housing construction. Evaluate incentives for mum-and-dad investors to supply new stock in high need areas. Governments to address skill shortages in the property sector urgently to streamline the housing supply chain.

Policy Priority 2 SAFEGUARDING OUR DIGITAL DOMAIN

AT A GLANCE The intersection of technology and security in real estate brings about a spectrum of challenges and prospects we can’t ignore. Across our family of Institutes, there’s a shared recognition of the imperative to adapt and respond to emerging challenges and opportunities such as artificial intelligence, cyber security, financial crime prevention, and privacy concerns. Recent cyber security breaches, including high-profile incidents at major corporations like Optus and Medibank in October 2022, underscore the urgency of this concern. In fact, cyber security was ranked as the third most pressing challenge by our member Institutes. A survey revealed that 78% of agencies continue to be concerned by the threat of cyber-attacks. Over the past year, real estate companies, of all sizes, have been targeted, with medium-sized enterprises incurring an average cost of $33,442 due to such breaches.¹ Of

Critical National Processes Australia’s Cyber Security Strategy. Australia’s Privacy Act Report Review. Ongoing consultation on the Anti-Money Laundering and Counter-Terrorism Financing Act 2006.

these, 30% of agencies surveyed nominated issues relating to data privacy and security as a barrier to implementing new technology.² The stakes are high, especially when agents could potentially be held accountable for consumer financial losses and is linked to broader policy areas including but not limited to: Anti-money laundering (AML), Know-your-customer and broader privacy reforms.

GETTING REAL 2.0

Source: ¹Optus Business – Real Estate Industry Pulse 2022. Available: Optus Business Real Estate Industry Pulse 2022 - Optus. ²Ibid.

UNPACKING THE COMPLEXITY Navigating the intertwined realms of cybersecurity, financial crimes, privacy, property technology (proptech), and regulatory technology (regtech) can be distilled to the following key considerations: PROTECTION LAYER

ENABLER LAYER

Policies and Procedures

Implementation Tools

Cybersecurity and Crime Prevention Layer of protection of data and technology infrastructure.

Privacy

Layer of protection of personal information about individuals. Relates to collection, use, storage and disclosure of personal information.

ASSURANCE AND COMPLIANCE

GETTING REAL 2.0

Proptech

Regtech

Use of technology to serve business, customers and professionals in real estate and property related fields.

Use of technology to help businesses comply with government regulations.

TECH OR SOLUTIONS STACK

REIA’S POLICY POSITIONS In an era of swift technological advancements, safeguarding our members and consumers is paramount. REIA advocates for a best practice approach, emphasising cybersecurity and privacy standards tailored for the real estate industry. We firmly believe in robust protective measures that don't burden our practitioners or small businesses with excessive regulations. As we move forward, Institutes will play a vital role, serving as a beacon for professionals navigating the intricacies of privacy, cybersecurity, and intertwined areas like anti-money laundering. To cement these beliefs into actionable measures, our policy position lays out the following directives: Development of a privacy and cybersecurity code of conduct Business Case for FY 23-24. REIA champions best practices in cybersecurity and privacy regulations tailored for real estate professionals. The swift pace of technological evolution makes it vital for our members and consumers to be safeguarded. Responsible regulation is essential to protect businesses, practitioners, and consumers. Institutes should offer resources like education, toolkits, and response plans for navigating the complex digital landscape. Emphasising the importance of best practices, Institutes should ensure third-party providers also uphold rigorous cybersecurity and data-use standards.

GETTING REAL 2.0

Policy Priority 3 THE SUSTAINABILITY PARADOX

AT A GLANCE Sustainability, alongside environmental, social and governance (ESG) considerations, is gaining momentum in both political and economic spheres. Their rising importance will significantly impact Australian residential and commercial real estate stakeholders. Political stances pave the way for economic shifts, but

Estate report, there is a distinct green advantage:

they also lay bare the challenges and implications faced

70% of tenants are willing to pay more for

by industries and communities.

sustainability-certified buildings, and 72% of investors believe these certifications drive higher occupancy,

POLITICAL

rents, tenant retention and overall asset value.⁶

The 2015 Paris Agreement committed to limiting the rise in global temperature to 1.5-2.0°C above pre-industrial levels. The Intergovernmental Panel on Climate Change in 2018 emphasised the necessity to contain global warming to 1.5°C to prevent severe climate change impacts.

GROWING CHALLENGES AND IMPLICATIONS While there is undeniable economic allure to sustainable real estate, a stark reality remains. The bulk of Australia’s residential housing doesn’t measure up to this standard. Notably, about 60% of commercial and industrial properties settle for a Grade B rating

As of September 2022, the newly elected Federal Government legislated the Climate Bill, committing to reduce emissions by 43 per cent and achieve net zero by 2050.³ The specifics of this roll out, expected to impact

between 3.5 and 4.0 stars on the National Australian Built Environment Rating System (NABERS) scale.⁷ The National Mandatory Disclosure Scheme will shed light on these disparities, posed to deeply influence the Australian real estate arena.

consumers and businesses, remains unclear. Alarmingly, the International Energy Agency has pointed out that the global building sector is directly and indirectly responsible for approximately a third of global CO2 emissions.⁴

ECONOMIC The economic landscape shows emerging premium markets for both residential and commercial sustainable real estate. In 2022, homes in the ACT with an excellent Energy Efficiency Rating (EER) were valued at a staggering 99.3% more per square metre compared to those with a poor EER, highlighting the growing premium attached to sustainability in real estate.⁵ According to the REIA State of the Industry: Australian Commercial Real

GETTING REAL 2.0

Source: ³ Source: REIA Friday in Focus. Available: Climate Bill to be debated by the Senate in September (mailchi.mp) ⁴ Source: International Energy Agency. Available: Buildings – Analysis - IEA ⁵ Source: Domain. Available: Domain Sustainability in Property Report 2022 ⁶ Source: REIA. Available: Final_REIA-CRE-Report-1.pdf ⁷ Source: CBRE. Available: Download the slides

REIA’S POLICY POSITIONS At REIA, sustainability isn’t just a buzzword - it’s a commitment. Our Sustainable Real Estate policy is being continually refined, ensuring it encompasses a ‘profit, people, planet’ framework. This holistic approach promises advantages not just for agents and consumers, but for the broader Australian community as well. As we anticipate the National Mandatory Disclosures Scheme, we’re not sitting on the sidelines as observers. We are committed to actively representing the interests of all real estate stakeholders and preparing the market for the upcoming changes. REIA and our family of Institutes pledge to: Advocate for and lead sustainable initiatives across Institute, agency, and asset levels. Equip consumers with sustainability tools and incentives rather than impose broad regulations. Assist in adapting assets to evolving regulations. Learn from commercial real estate standards to prepare consumers for NetZero and expand NATHER requirements. Craft a dedicated Sustainability Compact for Real Estate Institutes. Celebrate and reward sustainability champions in our industry. Explore avenues for achieving Carbon Neutrality in business and for consumers. Actively pursue any opportunities to curb insurance expenses for homeowners, investors and renters. Continue to better understand the potential impacts of extreme weather on Australian housing, focusing on at-risk areas.

GETTING REAL 2.0

Critical National Processes Climate Change Bill 2022 and its twelve supplementary legislative pieces. National Mandatory Disclosures Scheme. The continued development of the Nationwide House Energy Rating Scheme and the National Australian Built Environment Rating System. A notable investment of $1 billion in green loans by the Clean Energy Finance Corporation with a keen focus on property investors.

Policy Priority 4 UPHOLDING ETHICS IN REAL ESTATE TRANSACTIONS

AT A GLANCE Guiding over six million Australians annually into home ownership, rentals, and investment opportunities is no small feat. With this privilege comes the onus of public scrutiny, both within our local communities and at a broader sector level. Interestingly, our end of calendar year 2022 member industry survey highlighted ‘trusted real estate agents’ as the second most important strategic policy priority for REIA’s Getting Real. At the same time, the Ethics Index 2023 ranked real estate agents as the least ethical or trusted professional group, making clear there’s work to be done. The REIA family of Institutes are committed to elevating public confidence and bolstering the positive perception of real estate agents. The REIA family of Institutes recognises the crucial importance of ethics within our sector. Upholding integrity is at the forefront of our mission, and we are dedicated to promoting best practices and exemplary service throughout every stage of the real estate transaction. This extends from industry entry requirements to licensing, continued training, and the consistent advancement of skills and standards.

GETTING REAL 2.0

Critical National Processes Skills: Collaborate with BuildSkills Australia – Jobs and Skills Council for property services to refine skills, set standards, and craft a workforce strategy. Development of a national real estate licence exchange via Project RE-ID Our Institute family prioritises top-tier training and professional excellence. REIA is revisiting our REIA Principles of Conduct. FIABSCI Code of Ethics.

SUMMARISING COMPLEXITY The Harvard Business Review⁸ distils trust into three fundamental components: 1. Positive relationships 2. Good judgement and expertise 3. Consistency Trusted real estate agents as a strategic policy issue has been organised to reflect these key elements:

Positive Relationships

Good Judgement & Expertise

Consistency

Where REIA and the family of Institutes can respond

The client

Evidence

Skills and standards

The consumer

Ethics, Diversity & Sustainability

Recruitment and retention

The community

Harmonisation

Entry level requirements

Ways in which REIA and the family of institutes can respond

Relationship building

Research

Awareness

Reputation and issues management

Communications ⁸ HBR. Available: The 3 Elements of Trust (hbr.org)

GETTING REAL 2.0

Quality control of skills, standards, training, and on-the-job professionalism

REIA’S POLICY POSITIONS The trust of consumers is paramount, and at REIA, we’re dedicated to earning and maintaining it. Together, with our family of Institutes, we aspire to be the gold standard of integrity and transparency in Australia’s real estate sector. This commitment to excellence is embedded in all our operations and initiatives. To solidify the trust our stakeholders have in our sector, REIA emphasises that the best practices of our people and our real estate operations are fundamental.

In advancing this, REIA is actively pursuing;

Excellence

Unified Approach

Championing best practices via state licensing, training and standards.

Aligning skills and standards nationwide.

Key Projects

Stakeholder Talks

Industry Standards

Advancing initiatives like Project RE-ID and Build Skills Australia.

Hosting REIA’s Property Management Roundtable in November 2023.

Implementing consistent national standards and improving the national curriculum.

Targeted Training

Enhancing Trust

Workforce Planning

Offering specialised, nationwide real estate training programs to benefit all consumers.

Developing strategies to boost industry reputation.

Addressing the property manager shortage.

Attracting Tomorrow’s Talent

Prioritising property services

Championing Licensed Expertise

Promoting property management as a top career option.

GETTING REAL 2.0

Ensuring that real estate roles are considered for priority immigration and training programs.

Advocating for the superior service and quality of licensed real estate.

Policy Priority 5 BETTER PLACES AND SPACES

AT A GLANCE Australia stands at the precipice of both urban and regional transformation. With cities burgeoning, regional areas expanding, and the digital age pushing the need for adaptability, there's a palpable momentum for change. The Australian Government has unveiled a transformative six-point plan for our cities. These reforms aim to:

Transform City Deals into genuine City

UNPACKING THE COMPLEXITY

Partnerships.

Revitalise Australia’s CBD’s. Renew the independent role of Infrastructure

Places

Spaces

Australia’s cities Australia’s regions

Australia’s built environment

Australia in urban planning.

Deliver a new National Urban Policy framework.

Publish an annual State of the Cities Report.

Give the Local Government a voice in a meaningful National Cabinet process.

Further broadening the urban development horizon, the Australian Government has introduced the “A Better Future for Australia’s Regions” initiative and the 2022 National Housing Accord. At the same time, REIA is stepping up our advocacy to elevate the voice of Australia’s commercial real estate practitioners. A sector worth a remarkable $1 trillion, commercial real estate faces major obstacles from Australia’s current planning and zoning frameworks. Whilst much of the Government’s announcements intersect with standing REIA policy, key areas, by exception have been presented for feedback by the Institute family.

Impacting the overall success of Residential real estate consumers and businesses Commercial real estate consumers and businesses, including retail and industrial

REIA’S POLICY POSITIONS In June 2021, REIA presented a comprehensive policy titled Real Estate of Australia's Cities and Regions, which serves as our standing position on this subject. A proposed new policy for this area is: REIA endorses the 2022 National Housing Accord, emphasising active involvement in the National Housing and Homelessness Plan. This includes reassessing land availability, zoning rules, and advocating for state-specific reforms to optimise housing supply. REIA endorses the New Urban Policy for broader 'gentle density' adoption, considering Auckland's 'as of right' model.⁹ ⁹ Source. New Zealand Ministry of Housing and Development. Changes under the NPS-UD requiring Auckland Council will enable buildings of six storeys or more within walkable catchments of the city centre; 10 large metropolitan areas including Henderson, Albany and Papakura; and around rapid transit stops including the region’s light rail and bus stations.

GETTING REAL 2.0

REIA’S POLICY POSITIONS In June 2021, REIA presented a comprehensive policy titled “Real Estate of Australia's Cities and Regions,” which serves as our standing position on this subject. A proposed new policy for this area is: REIA endorses the 2022 National Housing Accord, emphasising active involvement in the National Housing and Homelessness Plan. This includes reassessing land availability, zoning rules, and advocating for state-specific reforms to optimise housing supply. REIA endorses the New Urban Policy for broader 'gentle density' adoption, considering Auckland's 'as of right' model.

GETTING REAL 2.0

Critical National Processes Publication of an Australian Government Cities Report. Development of Australia’s New Urban Policy Framework. Continued regional and city deals.

From Policy to Practice: OUR ADVOCACY IN ACTION

Advocacy in the real estate sector is a continuous journey, not a destination.

Policy Evaluation is Non-Linear and Continuous

The ever-evolving landscape demands that we stay proactive, adaptive, and responsive to the needs of our members and the broader community. Once a policy position is approved by REIA, we work on it straight away.

Strategic Theme Ensuring supply.

Policy Action Advocate through relationships, meetings, media release and research; develop a discussion paper on the national plan for housing.

POLICY

ACTION

IMPACT

INFLUENCE

GETTING REAL 2.0

Status Met.

Results Housing plan committed to by the then Opposition. Housing plan a centrepiece policy of fourth Parliament.

Whilst we arguably achieved a fantastic result in getting commitment for a National Plan, the work is just getting started to create a Plan that will actually fix Housing Supply. The cycle starts again...

REIA's Advocacy Triumph Dismantling Calls for Rent Freezes and Controls: AUGUST 2022 The Greens announce their policy. REIA immediately identifies it as unconstitutional.

AUGUST 2022 – AUGUST 2023 The Greens intensify their efforts, introducing a range of private member bills at all government levels.

MARCH 2023 REIA unveils a ready reckoner highlighting the policy's shortcomings. The report draws from international cases, illustrating the negative impacts of rent freezes and controls on rental supply, affordability, and renters.

MARCH – AUGUST 2023 REIs distribute the reckoner to local Parliaments, Legislative Assemblies, and their respective Housing Ministers. REIA briefs 60+ MPs, Senators, Shadow Ministers, and Ministers.

GETTING REAL 2.0

REIA initiates a campaign urging homeowners and family investors to participate in the National Rental Inquiry. Voices were mobilised by REIA from community housing, think tanks, research, and real estate practitioners to join the debate.

AUGUST 2023 At the National Cabinet, all Premiers and the Prime Minister decisively reject the notions of rent control and freezes. Emphasis placed on improving housing supply. REIA's extensive federal and state network engagement provided the evidence and confidence for market-friendly, renter-friendly policies. Within a span of 12 months, REIA successfully counters the Greens policy, ensuring market and renter-friendly outcomes.

How Getting Real 2.0 GOT HERE

2 0 2 3

GETTING REAL TIMELINE

OCTOBER 2021 REIA Getting Real: The First Edition launched

JULY 2022 REIA 2022-2025 Strategic Plan Launched (REIA 2025)

OCTOBER 2022 REIA Economic and Reputational Issues Workshop Framework established for Getting Real 2.0

NOVEMBER 2022

DECEMBER 2022 REIA In Boardroom Survey – Issues Prioritisation REIA Year in Review 2022 Report Card

Meta analysis of key trends in Australian real estate Desktop audit of any new research of significance

JANUARY 2023 REIA Survey Findings Report Released Research and drafting for Getting Real 2.0

FEBRUARY 2023 Questionnaire to Real Estate Institutes issued Consultation version of Getting Real 2.0 Papers released and consolidated

GETTING REAL 2.0

MARCH 2023 Getting Real 2.0 Forum held Getting Real 1.0 Report Card tabled

APRIL 2023 Getting Real write up and synthesis developed

MAY 2023 REIA Survey Findings Report Released Research and drafting for Getting Real 2.0

AUGUST 2023 National Cabinet dismisses any rent freeze or rent control policy due to the hard

SEPTEMBER 2023 REIA Short Stay Accommodation Report

OCTOBER/NOVEMBER 2023 [NOW] REIA Getting Real 2.0 launch nearly two years to the day Getting Real 1.0 was launched

GETTING REAL 2.0

OCTOBER 2022

Gettin

OCTOBER 2021

JULY 2022

DECEM

MARCH 2023

How ng Real 2.0

GOT HERE

APRIL 2023

FEBRUARY 2023

MBER 2022

AUGUST 2023

REAL ESTATE INSTITUTE OF AUSTRALIA

SHORT-STAY ACCOMMODATION

SEPTEMBER 2023

terri scheer

SEPTEMBER 2023 reia.com.au

REIAustralia

REIANational

reiaustralia

Real Estate Institute of Australia

SHORT-STAY ACCOMMODATION | PAGE 1

Some Highlights: Advocacy with an ROI

Research pipeline went from 0 pre-GR 1.0 to 7 in <2years

Combined listing value of $40 billion secured in Federal Government first home buyers’ programs.

GR 1.0 with clear and agreed policies allowed agile issues management to defend our industry in real time: Negative gearing, rental freeze, land tax and cyber.

Putting people first ... priceless? Project RE-ID advocacy outcome of REIA’s since 1924. Industry Skills Clusters - takeover of industry skills and national training package development stewardship assumed of this critical function with total joint venture worth $5 million.

The National Housing and Homelessness Plan, done well and funded across the Federation, would see our industry grow with a guaranteed pipeline of sales and rental listings.

GETTING REAL 2.0

Getting Real 2.0 Triage REIA Getting Real 1.0 established a key set of decision-making criteria for responding to strategic policy issues. Through our consultation with Institutes from October 2022 – March 2023, REIA was able to triage and refine the key changing strategic policy issues. Members prioritised 27 unique policy issues with housing supply, trusted real estate agents and cybersecurity commanding the ‘top 3’ sections. These were expanded to include a criterion incorporating the new REIA 2025:

Policy position must address one or more of these key criteria

Drive real estate listings over the short and long term Defend against draconian regulation and compliance Support confidence and trust in real estate agents and markets Attack immediate reputational or economic threats Plan for big picture strategic issues to secure agencies a profitable future Is a direct deliverable of REIA in 2023

Source: REIA

GETTING REAL 2.0

REIA Members & Partners 23-24

OUR MEMBERS

OUR AFFILIATE MEMBERS

OUR REIA 2025 PARTNERS

GETTING REAL 2.0

@REIAustralia

@REIANational

@reiaustralia

Real Estate Institute of Australia

Time to get Real about Australia’s housing crisis @REIAustralia

@REIANational

@reiaustralia

Real Estate Institute of Australia