A national planning reform blueprint, agreed to by National Cabinet this week, is a welcome approach that would require a "farewelling of our nimby culture", the real estate industry's peak body says.
Housing industry bodies have also welcomed measures to deliver more homes and strengthen renters' rights.
On Wednesday, national cabinet agreed to a new national target to build 1.2 million new homes over five years, adding 200,000 homes to the previously agreed National Housing Accord target.
State and territory leaders also agreed to a national planning reform blueprint, which includes zoning and land release reforms and promoting medium- and high-density housing in "well-located areas".
Real Estate Institute of Australia president Hayden Groves welcomed the focus on building more homes.
"Now the states and the construction and building sector need to get building," he said.
He said the planning reform blueprint was a welcome approach "if it is delivered on by governments and the planning sector".
"This will require the will and collaboration of many and a farewelling of our 'nimby' culture to 'yimby' culture in this country," he said.
Rental measures a 'step in the right direction'
Mr Groves also welcome the rental measures agreed to by national cabinet and thanked the ministers for "rejecting rent freezes and rent caps".
The rental measures include developing a nationally consistent policy on a requirement for genuine, reasonable grounds for eviction and moving towards limiting rent increases to once a year.
Phasing in minimum rental standards and a ban on soliciting rent bidding was also included.
Many of these rental measures are already in place in the ACT.
National cabinet also agreed to consider better regulation of short-stay residential accommodation and to amend break lease fees for fixed-term agreements.
In a joint statement, the Community Housing Industry Association and National Shelter, the peak body for Australian housing organisations, said the package was a "step in the right direction towards tackling the housing crisis".
National Shelter chief executive Emma Greenhalgh said a nationally consistent limit of one rental increase per year was "long overdue" but there was still work to be done in this space.
"We need upper limits on the quantum of rent increases for tenants to provide them with genuine stability and security," she said.
Planning agreement 'lays groundwork' for building more homes
National cabinet also agreed to a $3 billion new home bonus to incentivise governments to build more homes.
The bonus gives states and territories $15,000 for every property built after their required target of one million homes is met.
The agreement "lays groundwork for missing middle reform", according to Greater Canberra, a community action group advocating for planning system changes to allow more medium-density housing in the ACT.
In a statement, the group said reforming zoning laws was not only key to ensuring "abundant housing supply" and reducing emissions it would also provide an economic boost for the ACT.
But they said the territory government must act fast to incorporate "missing middle" zoning reform into the new Territory Plan.
"Now is the time to embrace sensible and broad upzoning of the 80 per cent of Canberra's residential land on which medium density housing is still banned, along with reforms to reduce costly parking mandates, and increase density around local centres," they said.
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