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Affordable Housing Policy

Version 1.0

Summary 

  • Housing is recognised as essential infrastructure that supports health, wellbeing, social inclusion and economic security. 
  • Many Casey residents continue to experience housing stress, overcrowding, insecure housing or homelessness. 
  • Housing affordability has worsened significantly. Between June 2020 and June 2025, median house prices increased by 26%, unit prices by 32%, and advertised rents increased by 40% for houses and 32% for units. 
  • Social housing supply has not kept pace with population growth. A 2022 assessment identified a shortfall of approximately 2,490 social housing dwellings in Casey, forecast to increase to around 5,000 dwellings by 2041. 
  • Council's Affordable Housing Policy (2026) sets out Council's position, principles and role in increasing the supply, diversity and accessibility of affordable housing across the municipality. It replaces the 2020–24 Affordable Housing Strategy. 
     

Importance of Affordable and Social Housing 

  • Affordable housing is defined under the Planning and Environment Act 1987 as housing, including social housing, that is appropriate for the needs of very low, low and moderate-income households and is priced so those households can meet other essential living costs. 
  • Social housing includes public housing and community housing provided by government or registered housing agencies. It provides secure, affordable long-term rental housing for people on low incomes, particularly those who have experienced homelessness, family violence or other forms of disadvantage. Rent is set at no more than 30% of gross household income. 
  • Council recognises that access to affordable and social housing is essential to maintaining social inclusion, community wellbeing, economic participation and improved life outcomes for vulnerable residents, and is a Health Focus area within Council's Municipal Health and Wellbeing Plan 2025-29

Affordable Housing Need

Casey continues to experience significant unmet affordable housing need. In 2021:

  • 1,852 households were homeless or at risk of homelessness.
  • 2,128 households were marginally housed.
  • 2,931 very low and low-income households were experiencing rental stress.
  • 510 moderate-income households were experiencing rental stress.

Housing affordability for both ownership and rental has declined substantially, reducing housing options for very low, low and moderate-income households. Affordable housing and social housing supply have not kept pace with population growth, resulting in increasing demand for affordable housing solutions across the municipality.

Affordable Housing Policy 

Purpose
The Affordable Housing Policy outlines Council's policy position and defines its role in increasing the supply of affordable housing in the City of Casey. The Policy:

  • Establishes Council's position and responsibilities in supporting affordable housing outcomes.
  • Guides Council's advocacy, facilitation and partnership activities.
  • Supports increased housing supply, diversity, accessibility and long-term affordability.
  • Provides the foundation for future implementation, monitoring and evaluation activities. 

Council acknowledges that responsibility for affordable housing primarily sits with State and Federal Governments; however, local government has an important role in influencing housing outcomes through planning, advocacy, partnerships and strategic use of Council assets. 

Guiding Principles
Council will support affordable housing that:

  • Is located in well-connected, service-rich areas with access to transport, jobs, education, healthcare and community facilities.
  • Is integrated into mixed-tenure and mixed-use neighbourhoods.
  • Provides a diversity of housing types and sizes that meet local needs.
  • Delivers high-quality, accessible, inclusive and environmentally sustainable design.
  • Is delivered or managed by Registered Housing Agencies or Aboriginal Community Controlled Organisations where appropriate.
  • Prioritises cohorts experiencing significant housing disadvantage, including: Very low and low-income households; People experiencing family violence; Older people; People with disability; Aboriginal and Torres Strait Islander households; and Young people experiencing homelessness or housing insecurity. 
     

Council's Role
To increase the supply of affordable housing, Council will undertake three key roles:

Advocate

  • Council will: advocate for increased State and Federal Government investment in affordable and social housing;
  • Support policy and planning reforms that facilitate affordable housing delivery;
  • Raise community awareness of affordable housing needs and benefits;
  • Advocate for culturally safe, inclusive and accessible housing outcomes;
  • Strengthen evidence-based advocacy through research and data collection. 

Facilitate

  • Council will: Incorporate affordable housing considerations into strategic planning activities;
  • Support affordable housing outcomes through planning processes and policy;
  • Explore affordable housing contribution mechanisms available through planning legislation;
  • Support funding applications and delivery initiatives from housing providers and partners;
  • Investigate opportunities for affordable housing on suitable Council-owned or underutilised land;
  • Establish transparent systems for managing affordable housing contributions. 

Partner

  • Council will: Work with Registered Housing Agencies, government agencies and delivery partners to identify affordable housing opportunities;
  • Explore opportunities to use suitable Council-owned land for affordable housing projects where appropriate;
  • Support long-term affordable housing outcomes through partnerships, leasing arrangements and governance mechanisms that retain affordable housing benefits within Casey. 

Resources

For housing support, please contact Launch Housing Dandenong (free call, 24 hours) on 1800 825 955.

For information on applying for social housing, public housing tenants and help with private renting, visit Housing Victoria or the Victorian Housing Register.