Housing was one of the biggest talking points in this year's Federal Budget, with a range of measures focused on home ownership, boosting supply and investment in new homes.
One of the most significant housing reforms focuses on encouraging investment in newly built homes.
Under the new legislation, future changes to negative gearing and capital gains tax will encourage investment in new residential housing from 1 July 2027, while existing investments remain grandfathered.
The reforms are designed to increase supply by directing more investment towards the construction of new homes across Australia.
While these reforms are primarily aimed at investors, they also encourage the delivery of more new homes across Australia. If you're planning to buy and build, it's worth understanding what they could mean for the broader housing market.
We recommend speaking with your accountant, financial adviser or mortgage broker about your individual circumstances, or visit the website below.
Learn more here.
Homebuyer support programs
Alongside these reforms, the Australian Government continues to offer a range of programs designed to support eligible Australians into home ownership.
Australian Government 5% Deposit Scheme
Formerly known as the Home Guarantee Scheme, this program allows eligible buyers to purchase a home with a deposit as low as 5% (or 2% for eligible single parents) without paying Lenders Mortgage Insurance (LMI), subject to eligibility criteria and property price caps.
Learn more here.
Help to Buy
The Help to Buy shared equity program is designed to help eligible Australians purchase a home with a lower deposit and smaller mortgage. Under the program, the Australian Government contributes a share of the purchase price in exchange for an equity interest in the property.
Learn more here.
Note: Eligibility criteria, income thresholds and property price caps apply to both programs. Prospective buyers should speak with their mortgage broker, lender or financial adviser to determine whether they qualify.
Questions to ask your financial adviser
If you're considering purchasing land or a house and land package in the next 12 months, it's worth discussing:
- Whether you're eligible for any government homebuyer programs
- How much deposit you need to purchase land or a house and land package
- Whether buying new could provide advantages compared with purchasing an established home
- What your borrowing capacity looks like in the current lending environment
- Whether any proposed tax changes could be relevant to your investment strategy
Explore your options at Wallis Creek
With Australia's housing reforms now in place, understanding the available government programs and how the new legislation may affect your circumstances can help you make more informed decisions.
Whether you're purchasing your first home, upsizing or considering an investment in a growing community, the Wallis Creek team can help you explore the range of land and house and land opportunities currently available.
To learn more about current land releases and house and land opportunities, tap 'contact' to get in touch with our sales team today.
Disclaimer
This information has been prepared for general informational purposes only. It is intended to provide a high-level overview of the budget and related matters and does not constitute legal, financial, taxation, accounting, investment or other professional advice.
While reasonable care has been taken in preparing this information, no representation or warranty (express or implied) is given as to its accuracy, completeness or currency. The information may be subject to change without notice.
Purchasers should make their own enquiries and obtain independent legal, financial, taxation and other professional advice relevant to their particular circumstances before making any decision or taking any action in connection with the purchase of land or any related matter. Purchasers must rely on their own investigations and advice and not on this information.