Lack of supply and growing demand are not the only issues causing Australia’s housing crisis, according to new research from LongView and PEXA.

It also pinpoints high population growth, urban concentration and a shortage of well-located residential land near job nodes and services as contributing factors.

The research says house prices have grown much faster than incomes at a compound annual growth rate of 7.2%.

PEXA CEO Glenn King, says it now takes Australians up to 14 years on a median salary to save for a deposit on a typical mortgage, which makes it harder for young people to enter the market.

“Many first home buyers, who are forced to buy far from the centre of cities, are denied the opportunities that may increase their quality of life, including access to the higher paying jobs in the central city and employment hubs,” King says.

“They aren’t reaping the economic benefits that living in a city should bring.”