FAQ

Public exhibition of this Issues and Options Paper alongside the draft Residential Chapter 7 of the Coffs Harbour LGMS is intended to stimulate discussion among the community about the issue and promote informed community and stakeholder feedback on the matter during the community consultation period.

Affordable housing is housing that is appropriate for the needs of a range of very low to moderate income households and priced so that these households are also able to meet other basic living costs such as food, clothing, transport, medical care and education. As a rule of thumb, housing is usually considered affordable if it costs less than 30% of gross household income.

Affordable housing is not the same as social housing. Affordable housing is open to a broader range of household incomes than social housing. Households do not have to be eligible for social housing to apply for affordable housing, though people who are eligible for social housing may also be eligible for affordable housing properties. 

Affordable housing is managed more like a private rental property, but there are eligibility criteria and the managers are mostly not for profit community housing providers.

Different tiers of government influence housing supply and affordability through a range of measures.

Commonwealth Government administers tax policies that can affect the housing market, provides direct funding to state government housing programs and provides rental assistance to eligible people who rent in the private rental market.

The NSW Government influences housing supply and affordability through provision of social housing; administering the planning system that sets the rules for housing development; administers laws that govern residential tenancies; setting targets for housing provision driving the release of land and undertaking housing developments on state government owned land across NSW.

Local government has not traditionally had a direct role in the provision of affordable housing, however local government can provide a supportive local policy environment and planning framework (through appropriate planning controls and incentives) to place downward pressure on housing prices and facilitate the provision of more affordable housing types.

As of 2019, Councils outside of metropolitan Sydney are now able to prepare an Affordable Housing Contribution Scheme in accordance with the State Environmental Planning Policy (SEPP) 70 – Affordable Housing (Revised Schemes) and collect contributions towards the provision of affordable housing in areas with demonstrated need.

House values and private rental prices in the Coffs Harbour LGA have been steadily rising for many years, significantly outpacing wages growth over the same period. House values in the Coffs Harbour LGA are now significantly higher than in the wider regional NSW. Affordability issues include:

• scarcity of affordable homes or social housing to rent and/or purchase;
• current housing stock is mismatched to current needs, due to a shortage of one and two bedroom properties;
• homelessness within our community;
• many low-income households in Coffs Harbour LGA are currently experiencing rental stress;
• a range of additional challenges facing marginalised and/or disadvantaged communities, which makes it harder for them to secure affordable housing; and
• the high proportion of Aboriginal and Torres Strait Islander people renting their home makes many vulnerable to changes in the private rental housing market (price and supply);
• recent humanitarian arrivals to Coffs Harbour find it difficult to access affordable and appropriate housing;
• since the introduction of the National Disability Insurance Scheme (NDIS) there has been an increased demand for affordable housing that can help facilitate independent living; and
• private rental housing is not affordable for Coffs Harbour’s moderate income earning key workers.

The options Council could investigate or purpose are outlined in more detail within the Affordable Housing in Coffs Harbour LGA - Issues and Options Paper 2020. The main option themes are:

• possible amendments to Council’s planning controls;
• development of a Coffs Harbour Housing Affordability Policy;
• education and promotion of existing incentives;
• creation of additional incentives; and
• advocacy and collaboration with the NSW Government.