Queensland is experiencing severe demand pressure on housing stock in the South-Eastern Metropolitan region and in many regional and coastal centers. Whilst
median house prices are still well below Sydney and Melbourne, Australia’s third-largest housing market is showing no signs of slowing in the current economic climate of low-interest rates and stable levels of employment. Despite the comparatively good affordability of the Queensland housing stock, access for low-income and other disadvantaged and minority groups in the state is being eroded rapidly, partly by increased demand and partly by a loss of base-level stock through renovation and redevelopment. This paper will discuss the current situation regarding the stock of affordable housing by reference to current literature and pilot surveys of stakeholders in the public and private sectors. A particular focus of the paper will be a discussion of the expectations and limiting factors, nominated by supply-side participants, in respect of the partnership arrangements which facilitate their involvement. Affordable housing initiatives are becoming more important in Queensland. The rapid increase in house prices for both new and established dwellings has eroded the capability for homeownership (Housing Industry Association and Commonwealth Research, 2003). As a result, affordable private rental housing and social housing have experienced higher demand pressure. Without additional residential supply, demand will pull the price up and, therefore, reduce the amount of low-priced accommodation and lead to an increase in social disadvantage.