Albanese’s Home Deposit Scheme Sparks Fears of Housing Market Mayhem as Prices Soar by $35,000 in Just Three Months
- The Australian government’s 5 per cent deposit scheme for first-home buyers has been blamed for fuelling housing inflation, with prices now skyrocketing out of control.
- The median house price in capital cities has increased by a staggering $35,000 in just three months, leaving many young Australians struggling to get a foot on the property ladder.
- Critics warn that the scheme could increase house prices by as much as 10 per cent in the first year alone, making it even harder for first-time buyers to purchase their dream home.
In a shocking development, the Albanese government’s expanded 5 per cent deposit scheme for first-home buyers has been accused of sparking a housing market frenzy, with prices now surging out of control. The median house price in capital cities has increased by a staggering $35,000 in just three months, leaving many young Australians struggling to get a foot on the property ladder.
The Greens have led the charge in criticising the scheme, with MP Elizabeth Watson-Brown warning that it could increase house prices by as much as 10 per cent in the first year alone. “Modelling suggests this policy could increase house prices by 10 per cent in the first year alone,” she said. “Will you admit that the Labor government is driving unsustainable house price growth for the benefit of big banks and at the expense of everyday Australians?”
Instead of answering the question, Acting Prime Minister Richard Marles sidestepped the issue, allowing Housing Minister Clare O’Neil to step in and defend the scheme. “We’ve got a housing crisis in our country that’s been cooking for 40 years,” Ms O’Neil said. “The simple problem is that, for that entire period of time, our country has not been building enough homes.”
But critics argue that the scheme is doing more harm than good, with many young Australians now facing the prospect of never being able to afford their own home. The Insurance Council of Australia has forecast that home values could inflate by 10 per cent in the first year alone, making it even harder for first-time buyers to purchase their dream home.
Prime Minister Anthony Albanese has defended the scheme, saying it will help young people “realise their dream of home ownership sooner”. But with housing prices now soaring out of control, many are left wondering if the scheme is doing more harm than good.