The Western Australian state and the federal governments will invest more than $2 billion in a landmark agreement to supercharge the state’s housing supply.
The agreement aims to deliver more than 34,000 new homes across Western Australia, with 11,000 specifically earmarked for first-home buyers. The funding is part of a record $4.7 billion total investment by the state government into housing and homelessness.
The deal tackles the problem of housing development by pouring $522 million into the Housing Enabling Infrastructure Fund. This cash is designated for the critical power and water infrastructure needed to turn vacant land into residential lots.
Priority will be given to METRONET station precincts and growth corridors like North Ellenbrook and East Wanneroo, alongside regional hubs including Albany, Bunbury, and Geraldton.
“This is a significant funding package which will provide more funding to help build houses around METRONET station precincts,” WA Premier Roger Cook said.
“By delivering a critical new supply of homes for first home buyers, my government is working with the Commonwealth to ease pressure throughout the state’s housing market, ensuring every Western Australian has the security a home provides.”
As part of a build-to-sell program, $375 million will be used to construct 500 new homes exclusively for first-time purchasers. To ensure these stay affordable, the state government will take a 35 per cent equity share via Keystart’s Urban Connect program, potentially slashing the entry cost for buyers by up to $250,000.
Further measures include a new $250 million for a new Commercial Financing Facility to help developers fund multi-unit projects. This will complement the government’s $250 million Pre-sale Guarantee to reduce financial risks for builders.
A total of AUS$75 million will be provided for the Regional Housing Support Fund to assist key workers and residential subdivisions in regional WA.
Federal Housing Minister Clare O’Neil said the deal was about giving young West Aussies a fair go in a tough housing market.
“Right now, too many Western Australians feel locked out of the housing market. This investment is about changing that, building more homes and backing first home buyers to get in,” O’Neil said.
“Australians don’t expect a free ride, they just want a fair chance to buy a home. This deal delivers more homes and puts first home buyers front and centre.”
New homes and residential lots to be delivered under the landmark partnership are expected to be delivered progressively from 2027, providing critical new supply for first home owners and easing pressure across the housing market.
