With over 20 years of experience in housing operations and community outcomes, Hariet Brummelhuis brings an operational lens to the challenges and opportunities facing Australia’s affordable and social housing sectors. As COO at National Affordable Housing, she currently oversees the service delivery of thousands of dwellings across the eastern states, and leads cross-sector partnerships that align government, private capital, and community interests.

What are the biggest operational challenges facing affordable and social housing providers today—and how do they differ from market-rate housing?

One of the most pressing challenges is securing adequate funding to maintain housing assets over the long term. Government cost assumptions often fall short of the actual expenses required to maintain the assets, which undermines the sustainability of the sector. Rising labour and material costs affect both affordable and market-rate housing.

Another challenge is the availability of support services for residents. Many support agencies are stretched thin, leaving vulnerable residents without the assistance they need. This can lead to tenancy issues such as rent arrears, property neglect, and behavioural concerns. While market-rate housing may experience these issues to a lesser extent, high-density living and cost-of-living pressures mean they’re not immune.

Finally, the expiry of the NRAS program has led to a loss of affordable rental stock, forcing many residents out of their homes. As a sector, we must plan for the long-term viability of housing projects and ensure continuity beyond time-limited schemes.

You work across partnerships involving government, private capital, and community housing. What makes a funding model truly work in this sector?

Affordable and social housing inherently requires subsidy, making government funding essential. The most effective funding models combine upfront capital grants with low-interest financing, enabling long-term outcomes and future growth. Operational grants, while helpful, often limit leverage and scalability.

Strategic partnerships with private entities are key. Success lies in working with partners who are committed to increasing supply and delivering housing for key workers on low to moderate incomes—even if that means accepting lower returns or navigating government requirements. Affordable housing offers predictable revenue, low vacancy rates, and manageable arrears, making it a stable investment when structured correctly.

How do you measure success—not just in terms of occupancy and asset management, but in tenant wellbeing and social impact?

At National Affordable Housing, our purpose is to deliver housing outcomes through strategic partnerships. We measure success by the number of homes created—whether we own and operate, manage on behalf of investors, or provide tenant selection and compliance services.

Beyond numbers, we view housing as a platform to achieve broader life goals. Our current pilot, the Home Life Plan, supports residents in the Help to Home program to transition into more permanent accommodation.

What role do operational efficiencies and long-term planning play in creating financially sustainable social housing developments?

Our organisation has a strong focus on organisational sustainability. With rents set below market rates, we focus on optimising operational expenses—particularly employment and maintenance. Technology plays a vital role in boosting productivity and supporting employee retention. We’re also implementing an asset management system to improve procurement and our ability to forecast long-term maintenance cost. Collaborating with developers on low-maintenance materials and equipment helps minimise future costs and ensures best value over time.

Looking ahead, what opportunities excite you most for the affordable housing sector, and what are some of the challenges?

The growing government focus on affordable housing is a welcome shift. National Affordable Housing has managed NRAS compliance and tenancy since 2008, and we see affordable housing as essential infrastructure for key workers. Stable housing and affordable rent create opportunities for people to achieve their goals and aspirations and results in social and economic benefits.

We support the MIT tax concessions and the growth of the Build-to-Rent (BTR) sector, which has the potential to significantly increase supply. National Affordable Housing is well-positioned to assist BTR providers with their affordable housing compliance requirements.

However, challenges remain. Population growth, limited supply, cost of construction, and potential interest rate cuts could push the price of housing further upwards. As a sector, we must respond by increasing supply and ensuring affordable homes are available for those on low to moderate incomes.

Hariet is a key speaker at the 2nd Annual Living Sectors Summit and will be sharing even more insight on the panel ‘How does Affordable Housing fit in the ‘Living’ Investment spectrum?’

View the brochure for details on her session and the full two-day agenda.