Right now, property prices are surging to record highs. It’s a problem across the country, but housing prices across Brisbane have recently risen at a greater rate than the other capital cities.
Over the last 8 years of LNP government, the house price-to-income ratio has doubled. A generation of renters has been locked out of home ownership, unable to save enough for a deposit, while continuing to face rising rents. Federal first home buyer schemes and home renovation grants have actually made the problem worse by driving prices up even faster.
Under our plan to make homes affordable to first home buyers, people locked out of the market will be able to buy into a home for around $300,000 or rent it at 25% of their income. Unlike LNP and Labor proposals, this ambitious housing initiative will provide affordable home ownership without inflating the price of entry level homes through subsidies. Here’s how it will work. With a small deposit, you can move into your newly built home and start paying off the loan straight away, building your equity stake to as high as 75%. When you want to leave, you can sell your share back to the government, and keep the return on the money you’ve invested. This plan not only tackles the housing crisis directly, but puts downward pressure on prices for all first-time home buyers.
The housing crisis in Australia goes beyond the difficulties of first home buyers. Social housing wait lists are out of control, the number of older women at risk of homelessness is increasing, and governments at State and Federal level have dropped the ball. The Greens will build one million well-designed affordable homes to provide much needed housing and thousands of extra construction and building services jobs. These homes will be sustainable, accessible, and affordable. A Greens analysis has revealed this policy will save people thousands of dollars every year, and eliminate the social housing waiting list within five years.
Renters are also suffering from the housing crisis and many are even locked out of renting. The Rental Affordability Index released late last year revealed that most of Brisbane is unaffordable for households earning less than $80,000 a year. The Greens will ensure everyone has a secure place to call home by capping rent increases, ending ‘no grounds’ evictions and giving tenants the right to make minor changes to the home.
You can read more about the Greens' plan and how we'll pay for it here.