How ‘residential for rent’ may change Australian housing Potential game changer that could undermine what is one of the most expensive housing markets in the world. Fragmented investor base holding low yield not really suitable housing assets (spurred on by capital gain expectations and tax benefits) vs Corporate investor building better fit for purpose product. Including housing in means testing of pension could also spur older demographics to more appropriate housing that still needs to be built. The Australian economy is productivity starved - the status quo that sees cheap money flow to non-productive price growth of existing stock needs to give way to building more appropriate housing stock. The government could either speed or hinder the transition with policy settings - but ultimately the macro is just about set to see much more corporate money flow to institutional residential rent products and the increased supply will change the market dynamics.