Building Inflation

If you have any building plans it's probably best to get started right away.

There's more disruption coming to the construction market as a result of a new government policy.

Labor and the Greens have done a deal to establish a $10 billion Housing Australia Future Fund.

Like most lousy policies it's got a grand sounding name designed to lull you into thinking it's a great idea.

On paper it would tick a lot of boxes for the socially aware. The cash has been earmarked for for more public housing to relieve the accomodation crisis gripping the country.

Regular readers would know that the housing crisis has been caused by state and federal government policies, most notably the outrageous level of immigration.

To put it in context, we are adding hundreds of thousands of migrants every year but struggle to build just 165,000 homes due to a shortage of skills and materials.

Economists estimate it would require building 220,000 homes annually just to keep up with existing demand, and it's set to get worse.

That's why if you need a builder, you'd best lock one in.