To investigate international housing funds to increase affordable housing in Australia

Australia is in a housing crisis with rents and house prices at an all time high and demand for affordable housing increasing. Not-for-profit developers struggle to provide affordable housing due to the high cost of development. One of these costs includes financing. Examples from overseas show that low or no interest loans can reduce the cost of developments, creating more affordable housing. While banks need commercial returns, a housing fund supported by philanthropic funds does not. Unlike grants which are given once, donations to a fund can be reused for more affordable housing as past loans are returned. I aim to learn from these overseas models to create Australia’s first philanthropic housing fund.

Report Summary

Erin Dolan's Fellowship explored two critical gaps in Australia's housing system: insufficient low interest financing for affordable housing developers, and underutilisation of philanthropic resources to expand housing supply. Visiting cities including Dublin, Copenhagen, Barcelona, New York and Vancouver, Erin concludes that Australia's housing crisis is structural, not cyclical. Europe in particular showed that consistent government investment, cost-rental models, and universal social housing create dampening effects on market prices.

Erin makes a number of recommendations for Australia including to create an alternative housing markets, leveraging philanthropic resources more effectively, supporting housing intermediaries and diversifying housing models. In Erin's words, know that if you house one person, you will forever change their lives.