It's a complex problem with no easy answers.

The tax benefits are what has made property a wealth creation scheme, so the problem will only get worse until that's addressed. Generous CGT exemptions, and negative gearing.

Sadly Shorten demonstrated how little appetite Australians have for addressing that.

The liberal policy of tax deductible interest, and the Labor policy of a 5% deposit, will only make the problem worse with increased demand.

If a majority of Australians wanted to address this (they dont) then IMO the solution is land tax. Land tax on all properties with an exemption for your home, and Australian owned farm land.

Then use the revenue from this for social housing. Build low cost housing, allow tenants to have some kind of rent-to-buy scheme.

This way you're making it less appealing to invest in property, and you're presenting more affordable options, both of which will rationalise pricing over the coming decades.