The Western Australian government has increased the affordable housing budget and introduced a tax package to boost housing supply across the state.
The state government has committed an additional AU$1.5 billion to social and affordable housing. This includes a AU$1 billion partnership with the federal government via the Housing Australia Future Fund (HAFF) to deliver over 1,400 new dwellings across eight key precincts, including Subiaco, Cannington, and Midland.
This funding injection takes the state government’s total investment under the HAFF to AU$1.8 billion, which will deliver a total of 3,117 homes.
The boost is part of an additional AU$4.7 billion investment in housing measures in this year’s Budget, which will bring the government’s record investment to AU$10.8 billion since 2021.
“My government’s priority is ensuring every Western Australian has a home and this Budget demonstrates that with a record AU$4.7 billion investment,” said Premier Roger Cook.
In addition to the increased funding, the government has also delivered a third round of stamp duty relief for first home buyers (FHBs), part of a AU$297 million housing tax package.
For those looking to build, the threshold for vacant land exemptions has jumped to AU$450,000. The government estimates these changes will save buyers up to AU$25,390, benefiting more than 25,000 Western Australians over the next four years.
“This tax package will help even more first-time buyers get into the market, providing the security a home provides,” Cook said.
Construction is already underway on the first build-to-rent projects in Woodbridge and Rivervale. These developments are located near METRONET stations to provide key workers with affordable rentals and easy access to public transport.
The government will invest AU$375 million to build 500 affordable homes exclusively for first home buyers, who will be able to access support to buy the homes through Keystart’s shared equity loans scheme. An additional AU$250 million has been set aside for a pre-sale guarantee to help developers reach the thresholds needed to start construction on apartment and townhouse projects.
Treasurer Rita Saffioti described the investment as the “biggest ever package to support first home buyers” in the state’s history.
“It’s about supporting young people who are thinking about their future, as well as parents and grandparents thinking about future generations,” Saffioti said.
“This Budget invests in building homes near METRONET stations, unlocking land across our suburbs, and providing loans to developers delivering affordable homes for Western Australians.”
