This chapter considers residential construction in Australia and the need for reform if the sector is to deliver affordable housing in the future and deliver the targets established by the Australian Government. It provides an introduction to the broad-scale dimensions of the sector and the policy environment within which it operates.
There is a pressing need to find new housing solutions, including the capacity to deliver more affordable housing through a better performing residential construction sector. The AHURI Inquiry into Overcoming construction constraints for the supply of new detached and high-rise housing (Sharam, Zolghadr et al. 2026) is a step towards this objective, with this paper examining the lessons that can be taken from international experience.
The aim of this supporting project is to address the following research question: What innovation is occurring in residential construction internationally and what are the lessons from leading international practice?
This research has focussed on North America, the UK, Europe and Asia, as well as New Zealand. Countries in these regions provide both analogous and contrasting housing delivery regimes when compared with Australia—and this diversity allows for an examination of diverse innovations and permits exploration of the influence of contextual factors, such as the nature of the wider economy, urban form and consumer preferences in shaping outcomes.
