Australia’s housing landscape is set for significant change under the re-elected Albanese government, which has put housing affordability front and centre of its policy agenda.

Labor’s comprehensive housing plan includes billions in new investment, targeted support for renters and first-home buyers, more funding for crisis accommodation, and a tougher stance on foreign investment in residential property.

Here’s a quick overview of how Labor plans to tackle the housing crisis—and what it could mean for buyers, renters, and investors alike.

Expanded access to 5% deposits for all first-home buyers.

Labor plans to expand the First Home Guarantee to make it easier for more first-home buyers to get into the market with just a 5% deposit—without paying lenders mortgage insurance (LMI).

Normally, buyers need a 20% deposit to avoid LMI, which can cost tens of thousands of dollars and only protects the lender, not the borrower. Under this scheme, the government guarantees 15% of the loan, allowing eligible buyers to skip LMI costs.

The proposed changes include removing income limits, increasing property price caps, and lifting the cap on the number of loan guarantees available. These updates are set to take effect next year.

So far, 150,000 Australians have already used the scheme to buy their first home.

Building 100,000 homes exclusively for first-home buyers.

As part of its housing plan, Labor has pledged $10 billion to support the construction of up to 100,000 new homes that will be reserved solely for first-home buyers.

Expansion of the new Help to Buy scheme.

Set to launch later this year, the Help to Buy scheme will enable eligible first-home buyers to co-purchase a home with the federal government.

Buyers will need as little as a 2% deposit, with the government taking up to 30% stake for established homes and up to 40% for new builds.

More social and affordable housing.

Labor aims to deliver 55,000 social and affordable homes—28,000 of which are already underway—through the Housing Australia Future Fund and other initiatives.

The program will prioritise support for vulnerable women and children, veterans, and essential workers, with the goal of reducing long social housing waitlists.

In the wider rental market, this increased supply could help ease pressure on lower-cost rentals by shifting demand away from the most affordable end of the private sector.

Apprentice incentive payments.

To help meet its ambitious housing targets, Labor plans to encourage more people to enter the trades by investing $78 million to fast-track the training of 6,000 tradies nationwide.

Starting July 1, 2025, eligible apprentices working in housing construction will also receive an additional $10,000 in incentive payments—on top of their wages—throughout the course of their apprenticeship.

Temporary ban on foreign purchases.

Labor has proposed a two-year ban on foreign investors and temporary residents purchasing existing residential properties.

The goal is to curb speculative investment, ease pressure on the housing market, and make it easier for local buyers to enter the market.