More homes needed down under

More homes are needed Down Under, according to new statistics from the ABS, which show the country's population is booming.

“The figures show Australia’s population reached 23.13 million in mid-2013, having added over 407,000 people in the year to June 2013," said Geordan Murray, HIA Economist. "This is equivalent to a growth rate of 1.8 per cent over the year which is well above the long term average."

The natural increase in population (births minus deaths) added 162,656 people in 2012/13. That represented an increase of 2.6 per cent over the previous year and contributed 0.7 percentage points to the overall annual population growth.

Net overseas migration increased by 8.6 per cent in 2012/13 to 244,371.This element of population growth contributed 1.1 percentage points to the overall annual population growth.

“With our population ageing and the baby-boomer generation progressively moving into retirement, Australia’s workforce must continually be replenished. Healthy levels of skilled migration, such as we are currently observing, will become increasingly important if we are to see the productivity improvements that will deliver sustainable advances in living standards,” noted Geordan Murray.

He added: "To date there has not been any commensurate boost to the supply of new housing. It is time for policy makers to acknowledge the imminent policy challenge that this situation poses."