The first-time home buyer policies of the two major parties are explained

One of the biggest battlegrounds ahead of the federal election on Saturday is housing affordability. So, how does each of the two major parties plan to assist first-time home buyers? Let us investigate.

Before we get into the details, we’d want to emphasize that we’ll do everything we can to keep this post as non-partisan as possible.

We understand that everyone has different choices, interests, and beliefs, and that home affordability may not be one of them, so we’ll only walk you through each of the policy’s elements below.

We’ll start with the incumbent government’s policy pitch, as is common with these types of events.

Super Home Buyer Scheme is a coalition policy.

Prime Minister Scott Morrison (Liberal Party) has promised that if re-elected, his Super Home Buyer scheme will allow first-time buyers can utilize their superannuation to help supplement a property deposit.

Your super account, however, will not be open slather.

Before you could apply, you’d need to have a 5% down payment saved up.

You could only access up to 40% of your superannuation, up to $50,000 in total.

There would be no income or house price limitations under the system, and it would apply to both new and existing residences.

You would also have to return the money taken from your superannuation account, as well as a portion of any capital gains, if you opted to sell the house later.

Labor’s policy: Help to Buy scheme

Meanwhile, Labor Party leader Anthony Albanese has presented a “Help to Buy” scheme to first-time house purchasers.

If elected, Labor has offered to assist you in acquiring a home by purchasing up to 40% of it with you for new builds and 30% for existing homes.

Individuals earning less than $90,000 or couples earning less than $120,000 would be eligible for the plan, which would require them to save a minimum deposit of 2%.

The government would own the corresponding percentage of your house that they contribute under the system, which you might choose to purchase back over time, with a ceiling of 10,000 places per year.

If your income rose beyond the standards, you’d have to start purchasing back the government’s share, and if you sold your property, the government would claim its share back (along with the relevant proportion of any capital gains).

Prices would be capped at $950,000 in Sydney, $850,000 in Melbourne, $650,000 in Brisbane, $600,000 in the ACT, and $550,000 in Perth, Adelaide, Tasmania, and the Northern Territory.

We'll be here to support whichever party wins.

Regardless of which party wins the federal election, you can rest confident that we’ll be up to date on their house buying and economic policies and ready to assist you in your home search.

Please don’t hesitate to contact us if you have any concerns about the housing market or the interest rate prognosis for the following 12 to 24 months.

We’d be pleased to go over your issue with you and help you consider your options.

To learn more, contact Premium Finance Group Australia at (07) 4720 8888 or email us at

Disclaimer: The content of this article is general and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your situation and may not be relevant to circumstances. Before taking any action, consider your particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced, or republished without prior written consent.

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