More than 12,000 new Victoria homes are built off the back of a key first-home buyer grant each a year. Industry heavyweights have warned losing it could mean a “significant” cut to supply
But amid record low vacancy rates, increased migration and a severe undersupply of new housing, key industry figures have warned fiddling with the remaining aspect of the support scheme could exacerbate Victoria’s housing and rental crises.
New home construction around Victoria is expected to slide in coming years, but first-home buyers are one bright spot for the market according to industry sources. The UDIA Victorian boss added that removing the assistance program without adding a new incentive would result in a “significant” loss of new home builds that the rental and housing market desperately needed.A government spokesman said they knew there was “no more important issue anywhere in the state right now than housing”, but offered nothing further on the future of the FHOG beyond stating they were “working hard on a housing package” and would provide more information at a later stage.
“While we haven’t been consulted directly on this, we reaffirm our position that the government needs to be using all means at their disposal to deliver a greater supply of homes to Victorians. The housing affordability crisis impacting many Victorians is fundamentally driven by a lack of supply – there are simply not enough homes to meet the demand that exists in the market.
He noted that in 2021, first-home buyers had access tens of thousands of dollars in government support, including a $15,000-$25,000 HomeBuilder Grant from the federal government, up to $20,000 in FHOGs as well as stamp duty exemptions.“That sent the industry into a frenzy at the time and we oversold, there were record levels of land sales and housing starts which sent construction prices up,” Mr Costelloe said.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Gas connections to be banned from new homes in VictoriaEnergy Minister Lily D’Ambrosio has announced the dramatic energy change with begin from the start of next year.
Read more »
Victoria announces ban on gas connections to new homes from January 2024New residential properties, as well as government buildings, will only be powered by electricity
Read more »
Victoria bans gas in new homes to bring down soaring billsVictorians building new homes will no longer be able to connect to the state’s gas supply, with the measure expected to save residents hundreds on their annual power bills.
Read more »
Victoria bans new homes from connecting to gasVictoria, which has the highest use of residential gas in Australia, will ban all new homes that require a planning permit from connecting to gas.
Read more »
Gas to be banned in all new homes in VictoriaFrom January next year, new residential properties and government buildings will only be powered by electricity.
Read more »
First home owner grant faces the axe in VictoriaVictoria could become the first state to dump the first home owner grant amid warnings the payment is pushing people to Melbourne’s expanding fringe.
Read more »