Housing shortage leads to higher prices

The Australia On The Move report, compiled by Matusik Property Insights for the Residential Property Council (RDC), revealed Perth will need 9,068 houses each year and 8,108 units until 2014.

Separately, Mandurah will need an additional 1,326 dwellings each year to meet demand while Bunbury will require 901 homes.

Melbourne topped the list with the city needing 29,082 homes each year, then Brisbane with 24,537 and Sydney needed 24,155. The Gold Coast was ranked five with 8,372 homes needed each year until 2014.

"Australia's housing stock has long been undersupplied," RDC executive director Caryn Kakas said.

"Our nation as a whole needs to build a total 153,847 new dwellings to meet the continuing rise in population. This does not include meeting the underlying lack of supply in the current market."

Source: newhomeWA