Help to Buy reforms universally welcomed by housing industry

LABOR’S deal to get Help to Buy reforms through Federal Parliament have been universally welcomed by housing industry bodies.

The incentives will go some way to helping the 7 out of 10 Australians who want to buy a home but feel they won’t be able to, according to Master Builders Australia.

CEO Denita Wawn said:“New independent research by Insightfully has found 7 in 10 Australians who want to buy a home in the next five years fear they won’t be able to.

 “We need to continue to develop policies that increase housing supply while also encouraging people into home ownership.

 “Help to Buy hits two birds with one stone – it supports more Australians to reach their aspiration of owning their own homes with the effect of driving more investment in new home building.

“Build to Rent is the start of encouraging more institutional investment into new home building, something which has been lacking for a long time because the projects simply don’t stack up.

 “We thank the Parliament for resisting the temptation to change negative gearing and capital gains tax arrangements, which would have had a disastrous impact on housing supply.”

The Property Council of Australia also commended the passage of the Bill, saying it was welcome help for buyers across the country.

Chief Executive Mike Zorbas said the Help to Buy scheme is another option to help those struggling to get on the property ladder.

“We need to ensure that home loans are not just for the wealthy, and that we are giving first homebuyers a realistic chance at accessing credit for housing,” he said.

“Removing blockers to home ownership is important and one of the biggest challenges, alongside access to finance, is saving up for a home deposit.

“Schemes like this must be targeted directly to those who need them most, and this initiative will hopefully help 40,000 low- and middle-income Australians into home ownership.

“The next step, the most important step in making housing more affordable, is boosting the supply of new homes across Australia.

“Unlocking state planning systems and setting taxation levels to create more at-market, more affordable housing, more rentals, more retirement villages and more student accommodation must be a national effort. 

“That is where the government’s welcome 1.2 million home target, highlighting which states and territories are doing their fair share of new home building, is so important.

“We look forward to continuing to work with the Federal Parliament on measures to boost housing supply and affordability, including vital build-to-rent communities,” he said. 

HIA Managing Director Jocelyn Martin said: “The Help to Buy scheme is an important initiative of the Federal Government to enable 40,000 eligible home buyers to obtain and secure a deposit for a new home faster,” she said.

“While the opportunity to own a home can be challenging, and the type of homes families aspire to are changing shape, previous research conducted by HIA shows an overwhelming majority of Australians continue to agree that home ownership matters.

“The measures supported as part of these ‘Housing Bills’ alongside other forms of housing incentive programs are critical to boost housing supply. They are critical in supporting first home buyers raising the deposit more quickly and easily.

“We know from previous schemes, including the first home loan guarantee scheme and state and territory first home buyer grants, that targeted housing support measures work, are effective in helping bridge the deposit barrier to get people into their own home sooner.”