Help to Buy Update 4 March 2024

Date: 4 Mar 24

The Albanese Labor Government has committed to its Help to Buy scheme as its legislation has passed the lower house. The Hon. Julie Collins, who has held the Minister for Housing portfolio since assuming office following Labor’s federal election victory in 2022, released a statement yesterday confirming that the Help to Buy Bill 2023 has passed the House of Representatives as of the 29th of February 2023.

The Help to Buy Bill 2023 aims to support up to 10,000 first-home homebuyers per year to co-purchase a home with the federal government. Housing Australia will contribute to first-home buyers up to 40 percent of the value of a new build, or up to 30 percent of the value if it is an existing dwelling. Providing more upfront financial assistance on new builds will in theory bolster further new dwellings for the growing population and reduce current house supply issues. The Help to Buy Bill 2023 is part of a broader housing agenda being advanced by the federal Labor Government, which includes the national target of 1.2 million new homes by 2029, extra funding support toward social and affordable housing, and increases to the Commonwealth Rent Assistance rate and the state and territory homelessness services. It is not part of Victoria’s Housing Statement but does shares common policies and objectives in pursuing a similar outcome.

Whilst Labor was comfortably able to pass the bill in the lower house, the Senate currently has a more diverse makeup of parties. Labor will seek bipartisan support in the upper house to ensure that the Help to Buy Bill 2023 is legislated in the coming weeks.