Tania Lawrence (Hasluck, Australian Labor Party) Share this | Hansard source

Housing is more than just shelter; it's about security, opportunity and community. Affordable accessible housing should not be a privilege. In Australia, it is a right. That's why the Albanese Labor government is taking this bold action—to make homeownership more accessible, more affordable and more achievable. Too many people are working hard and trying to save but feel like the dream of homeownership has never been further out of reach. Labor is making it easier for you to buy your own home. From 1 October, every first home buyer will only need a five per cent deposit. We're delivering this commitment three months early, so more Australians can benefit from the program sooner. This will cut years off the time it takes to save for a deposit, helping Australians into their own homes sooner. And you won't have to pay a single dollar in mortgage insurance. Australia's housing crisis was obviously decades in the making, and it won't be fixed overnight. There's a lot of work to do, but we are making real progress right across the country.

In Hasluck, the housing crisis isn't abstract; it's deeply felt. Before the election, the Salvation Army reported that 83 per cent of the community said that housing affordability and homelessness are the most pressing issues in the electorate, and nearly 43 per cent said that it affects them personally. This certainly aligns with my experience of meeting with constituents throughout the year. The Salvation Army has stated that there is an unmet need for more than 2,900 dwellings in our area. At the national level, our Albanese Labor government understands that real change requires bold and practical solutions. That is why we delivered on the $43 billion Homes for Australia plan. It's an historic achievement—the biggest housing initiative since the postwar boom. Under the existing Home Guarantee Scheme, since May 2022, 1,890 people have already signed up and are benefitting from the low deposits. That's 1,260 households in Hasluck that are already benefitting. I look forward to seeing the numbers continue to grow.

The Labor Albanese government are making it easier to buy but also better to rent, and we're building more homes. We went to the election in May with the expanded five per cent deposit scheme. Starting from 1 October, every Australian first home buyer, no matter their income, can purchase a home with just a five per cent deposit and avoid paying the lenders mortgage insurance. Here's what that means in practice: first home buyers will need just a five per cent deposit; single parents will only need two per cent deposit. Housing Australia provides the guarantee to the buyer's bank to enable a home buyer to borrow up to 95 per cent, or 98 per cent for single parents, of that property's value.

We know that deposit relief isn't enough. We are also increasing housing supply, especially in fast growing electorates like Hasluck. That's why our Homes for Australia plan includes a dedicated $10 billion investment to build up to a hundred thousand new homes, exclusively for first home buyers across Australia.

In practical terms for Hasluck, a rapidly growing electorate of the outer metropolitan corridor, this means genuinely real opportunities for the people that I meet every day. These homes will be delivered in partnership with the state government and industry, using fast-tracking strategies, repurposed land and planning reforms. In fact, work has already begun on social and affordable apartments in Hasluck. Stage 1 of the developments is delivering 197 social and affordable homes in Ellenbrook and 56 in Woodbridge. Stage 2 will deliver another 120 social and affordable apartments in Midland and, across the railway line, 73 in Bassendean. These developments are all located by the train lines. Particularly for the new Ellenbrook line, this will create even more heart to our community there, because housing is more than just a roof over their head. It is about quality of life. It's access to employment, shops, schools, gyms and, of course, the community.

Let me paint a picture of the real difference this will make in Hasluck. Consider Marie and John, young professionals living out in Ellenbrook. Under the expanded scheme, they can now save up a five per cent deposit in years—not decades—and avoid tens of thousands of dollars in lenders' mortgage insurance and then apply that money directly into their own home instead of paying rent into the hands of a landlord. They can live close to the train line now that we've completed the train line in Ellenbrook, and takes them all the way into the city, if that's where they choose to work. They live close to the shopping centres and the new Ellenbrook pool that this government is co-funding.

For women returning to work after raising children, tradespeople and young couples, this plan lowers the barrier at the most critical step: the deposit. It also and expands eligibility. There are no income caps and no place limits, so modest income earners and frontline workers—everyone gets a fair go. And it's important to understand that this policy change is not merely about saving people money, although it will save first home buyers a lot of money. It will save them years of interest and save them the rent that they would have been paying if they hadn't bought a home—tens of thousands of dollars of rent, according to Treasury modelling.

So, for a home costing $500,000 which, in the election of Hasluck, is a unit in Midland or an apartment in Ellenbrook, Treasury estimates it would take about two years to save a five per cent deposit, rather than the seven years it would have taken for a 20 per cent deposit. That would also save rent of around $87,000. In Bassendean, first home buyers can buy a home for about $850,000 with a $42,000 deposit. That saves up to 10 years of 'saving time' and $42,000 in mortgage insurance—money better used to pay down their mortgage instead. Getting into their own home sooner saves time and stress. It saves the stress of having to overextend to get in the housing market in the first place, for those who are able to. Saving people money is a good thing. Saving money and time and stress is even better and is a hallmark of this government across many areas of policy, including health, where we've made medicines cheaper; and education, where we've provided free TAFE as well as reduced the HECS debt.

Let's look at what industry voices are saying. According to the HIA, since 2000, the insurance requirement for first home buyers with deposits under 20 per cent has added heavy costs, delayed ownership, driven up rents and worsened housing affordability. This policy works to address these things. HIA Chief Economist, Tim Reardon, has stated that the government should be commended for 'taking a view of housing policy that extends beyond the next election'. He said:

More new home construction, fewer households renting and increased home ownership will all occur because of this policy announcement, eventually.

As we know, rents are currently at a high mark historically right around the country. In many places, it's less economical to pay rent than to pay a mortgage, but a 20 per cent deposit remains an obstacle to making a shift. Now this government will make it significantly easier to make the shift. The scheme, aimed at assisting people to get into homeownership, is also predicted by the HIA and others to have the effect of taking pressure off rents in the medium and long term. It's good for renters too. The policy is also being welcomed by the Customer Owned Banking Association, COBA, and the government has instructed Housing Australia to promote greater diversity among lenders. We expect that this will see more mutual banks and credit unions added to the lender panel, increasing competition and creating an environment where there is a better deal for customers. COBA Chief Executive Officer Michael Lawrence agrees, saying:

More customer-owned banks on the HGS panel will create a more dynamic, inclusive, and competitive market.

Those opposite would have Australians believe that the housing crisis has suddenly appeared, but this is simply not the case. It has festered and grown through decades of neglect and lack of attention to even acknowledge the problem let alone address it. Members opposite have had the temerity to stand up and talk about housing policy, when they failed to even have a housing minister over most of their time in office. This bald fact says all Australians need to know about their failure to prioritise housing. They also voted against Help to Buy and promised to abolish the scheme. They didn't even support 100,000 homes for first home buyers.

The housing neglect by those opposite is the reason why 83 per cent of my community identified it as the most pressing need, and it is no wonder that the coalition is staring down the void of electoral irrelevancy. But we're not ignoring it. We're not ignoring this problem. It won't be fixed overnight, but this housing policy is one more step in the right direction, which will immediately benefit many in Hasluck and around the nation. The right to buy a home is everyone's right, and the five per cent deposit has made it just that much easier.

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