Australia falls short of its 1.2 million home target, lagging by over 124,000 units
Two years into the National Housing Accord, Australia is 124,183 homes behind its five-year goal, despite record-high construction activity.
Australia’s five-year plan to construct 1.2 million homes is now off track, with a deficit of 124,183 dwellings as of June 2026. The National Housing Accord, which began in July 2024, recorded 355,817 completions in its first two years. To stay on schedule, 480,000 homes needed to be finished by the end of June 2026, a benchmark the sector missed.
The Australian Bureau of Statistics reported 47,168 new homes in the June quarter, better than the 44,592 built in the previous three months but still shy of the roughly 70,000 quarterly target. New housing starts increased by 7 % to 52,201, largely thanks to an 11.6 % jump in detached houses, while apartments and townhouses saw little change. The total number of dwellings under construction rose to a record 248,733, and overall construction value reached $45.8 billion, up 10 % from the same period a year earlier.
Why it matters
The housing shortfall threatens affordability and economic growth as Australia struggles to meet its ambitious construction targets.
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