A business think tank is warning the worst of the housing crisis is yet to come, if we don't build more homes sooner.
The New Zealand Initiative has modelled 36 scenarios for the country's future.
In most scenarios, about 14,000 more homes need to be built each year, to keep up with rising demand.
Researcher Leonard Hong told Kate Hawkesby the Government needs to shift its focus from housing demand, to increasing housing supply.
He says tinkering with demand won't address the underlying housing shortage.