The Data Statistics and Numbers Behind Wollongong's Housing Affordability Crisis

Wollongong's housing market has seen a significant surge in prices over the past year, with the median house price reaching $1.2 million in June 2026, according to data from the NSW Valuer-General.

This matters now because the current housing affordability crisis is having a profound impact on the community, with many residents struggling to find affordable housing options. The Illawarra region, which includes Wollongong, has seen a significant increase in demand for housing, driven in part by the transition of BlueScope Steel to green steel and the development of the Port Kembla renewable energy zone. As a result, housing prices have skyrocketed, making it difficult for low- and moderate-income households to access the market.

Locally, the impact of the housing affordability crisis can be seen in neighbourhoods such as Figtree and West Wollongong, where housing prices have increased by over 20% in the past 12 months. Organisations such as the Illawarra Housing Trust and the Wollongong Homelessness Service are working to address the issue, but more needs to be done to increase the supply of affordable housing. The University of Wollongong, a major economic driver in the region, is also feeling the effects of the crisis, with many students and staff struggling to find affordable accommodation.

Housing Supply and Demand

According to data from the NSW Department of Planning and Environment, the Illawarra region needs an additional 4,500 dwellings per year to meet demand, but currently, only around 2,500 dwellings are being built annually. This shortfall is driving up prices and making it difficult for people to access the market. The median rent in Wollongong is now over $700 per week, making it one of the most expensive cities in Australia. The Illawarra Shoalhaven Regional Development Fund has allocated $10 million to support the development of affordable housing in the region, but more funding is needed to address the scale of the crisis.

In terms of what happens next, the NSW Government has announced plans to release more land for housing development in the Illawarra region, including a new housing estate in the suburb of Calderwood. The City of Wollongong Council is also working to increase the supply of affordable housing through its Affordable Housing Strategy, which includes incentives for developers to build affordable dwellings. Residents can also take practical steps to address the crisis, such as supporting local organisations that provide affordable housing and advocating for policy changes that increase the supply of affordable housing. By working together, we can start to address the housing affordability crisis and make Wollongong a more affordable and livable city for everyone.