What Is the Government Doing to Support Housing? A guide to home buyer support schemes and housing initiatives in Australia
- 凯mi
- Jun 13
- 4 min read
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Housing affordability remains one of the most pressing challenges for many Australians. In response, the federal and state governments have introduced a suite of initiatives to support first home buyers, single parents, regional residents, and low-to-middle income households in entering the property market.
This guide outlines key government programs, their benefits, and eligibility criteria to help individuals and advisers navigate available housing support.
Help to Buy Scheme (Applications Expected to Open in Late 2025)
The Help to Buy scheme is a forthcoming shared equity program designed to reduce the financial barriers to home ownership. Under the scheme, the government will contribute up to 40% of the purchase price for new homes, or up to 30% for existing homes, in exchange for an equivalent equity share.
Key Features:
Buyers are only required to contribute a minimum 2% deposit, with no requirement for lenders mortgage insurance (LMI).
The government holds an equity share in the home, which can be chosen to repay over time.
Eligibility Criteria:
Australian citizen or permanent resident, aged 18+
Must live in the home as their principal residence
Cannot currently own property in Australia or overseas
Individual income under $100,000, or $160,000 for couples
Property price caps apply, based on location
The property price caps by region are as follows:
State / Territory | Capital & Regional Centre Price Cap | Other Area Price Cap |
New South Wales (NSW) | $1,300,000 | $800,000 |
Victoria (VIC) | $950,000 | $650,000 |
Queensland (QLD) | $1,000,000 | $700,000 |
Western Australia (WA) | $850,000 | $600,000 |
South Australia (SA) | $900,000 | $500,000 |
Tasmania (TAS) | $700,000 | $550,000 |
Australian Capital Territory (ACT) | $1,000,000 | — |
Northern Territory (NT) | $600,000 | — |
Jervis Bay / Norfolk Island | — | $550,000 |
Christmas Island / Cocos (Keeling) Islands | — | $400,000 |
First Home Guarantee (FHBG)
This program enables eligible first home buyers to purchase a property with a minimum 5% deposit without paying LMI, as the government guarantees up to 15% of the home’s value.
Eligibility:
Australian citizen or permanent resident, aged 18+
Must not have owned a property in the past 10 years
Must live in the property as their primary residence
Income limit: $125,000 for singles, $200,000 for couples
Property price caps apply
Regional First Home Buyer Guarantee (RFHBG)
Similar to the FHBG, this guarantee is tailored to buyers in regional areas, helping stimulate population and economic growth outside major cities.
Eligibility:
Must have lived in the regional area or an adjacent location for at least 12 months before applying
Income and deposit requirements same as FHBG
Applies to designated regional zones
Family Home Guarantee (Single Parents)
This initiative allows eligible single parents to purchase a home with a 2% deposit and no LMI, helping them access stable housing sooner.
Eligibility:
Must be a single parent with at least one dependent child
Annual taxable income must be below $125,000 (excluding super)
Must not currently own property
Must intend to live in the property
State-Based Support (Varies by Jurisdiction)
Each state and territory offer additional assistance, including:
First Homeowner Grant: One-off grants to help buy or build a new home (typically $10,000–$30,000 depending on location).
Stamp Duty Concessions: Full or partial exemptions for first home buyers below specific thresholds.
Land Tax Concessions: Some states offer concessions or deferrals on land tax for owner-occupiers or developers investing in new housing supply.
National Housing Accord
Launched in mid-2024, the National Housing Accord is a long-term initiative aimed at delivering 1.2 million new, well-located homes over five years. Through coordinated partnerships between all levels of government, private developers, institutional investors, and the construction sector, the program seeks to boost housing supply and ease long-term affordability pressures.
$3.5 billion in federal funding to support enabling infrastructure
Joint commitment with states to deliver 20,000 affordable homes
Emphasis on land release, planning reform, and leveraging modular/prefab construction to improve delivery
Two-Year Ban on Foreign Investors in Existing Housing
In a significant policy shift, the Australian Government announced a two-year ban on foreign investors and temporary residents purchasing existing residential properties, starting in 2025.
Why this matters:
Purpose: The move is aimed at easing demand in a tight housing market and making more existing homes available to Australian residents and citizens.
Who it affects:
Foreign investors and temporary residents (e.g., international students, visa holders) will be restricted from buying second-hand or established properties.
Investment in new developments and off-the-plan properties is still permitted under certain conditions.
Potential Impact on the Market:
May increase supply of existing homes available to local buyers
May reduce price competition in inner-city and investor-heavy suburbs
Developers may pivot further toward building new housing to meet growing local demand
Rental market may be indirectly impacted if fewer investor-owned properties are available, which could put pressure on housing stock and rents in the short term
This move reflects broader global trends to prioritize local access to housing amid affordability concerns. It's also expected to support the government's broader goal of increasing owner-occupancy and balancing supply and demand in key urban areas.
Conclusion
The government has introduced a range of housing support policies that provide practical assistance to various types of home buyers. Whether you are a first home buyer, a single parent, or planning to purchase in a regional area, making effective use of these initiatives can help you achieve your homeownership goals more efficiently.
If you need further advice or assistance during the application process, please don’t hesitate to contact our professional team. We are here to provide you with comprehensive support and personalized guidance.
Source: Delivering the National Housing Accord, Australia Government website, Delivering the National Housing Accord | Treasury.gov.au.
Help to Buy Scheme: Federal Government’s shared equity scheme, Mortgage Choice website, Help to Buy Scheme: Government's 30-40% Shared Equity - Updated 2025 - Mortgage Choice.
Federal budget funds will expand the Help to Buy housing scheme. This is how it will work, ABC News website, Federal budget funds will expand the Help to Buy housing scheme. This is how it will work - ABC News.
