House Party of Australia Policy Statement
Everyone needs a home…
The House Party of Australia is focused on supporting and delivering policy outcomes that make it easier for aspiring home owners to enter the market without ongoing mortgage stress, for renters to be able to live affordably and securely, for victims of domestic violence to have access to safe and reliable accommodation, for children to live comfortably, and for everyone to enjoy their later years as suits their needs, able to downsize without excessive duties, charges and taxes.
The House Party is committed to ensuring that every Australian resident has access to safe, affordable, and sustainable housing. We believe that housing is a fundamental human right and essential for the well-being and stability of our communities. To address the housing crisis, we propose a comprehensive set of policies that include; ensuring that property and investment tax policies deliver fair and equitable housing outcomes, taxing foreign owners of residential property, taxing owners of vacant properties, and investing in the construction of new and affordable housing.
Getting housing policy right impacts across all areas of society. You can’t fix any other problems if you don’t have a roof over your head. People with safe, secure housing are less likely to end up in hospital, less likely to commit crime, have better educational outcomes, and are more likely to have secure productive employment. Good Housing Policy is not a cost to Government; it is an investment that will pay dividends for generations to come.
Policy Objectives
Increase Housing Availability – build more homes!
Promote Housing Affordability
Encourage Responsible Property Ownership
Support Sustainable Housing Solutions
Key Policy Measures
1. Investment in More social and Affordable Housing – Royalties for Roofs
Objective: Provide affordable housing options for all Australian residents, promoting intergenerational living and community stability.
Policy: Royalties for Roofs
- Ensure that a portion of Royalties from our natural resources is allocated specifically to new housing programs.
- Allocate funds for the construction of new affordable homes, which offer cost-effective, sustainable, and quick-to-build housing solutions.
- Rental Housing: Develop modular rental units with capped rent prices to ensure affordability.
- Ownership Opportunities: Create pathways for young people and retirees to purchase homes through subsidized loans and grants.
- Develop vacant lots with fast-track approvals for new homes to be established on vacant blocks, and provide tax incentives where this housing will be provided for rental accommodation.
- Fast track development applications for group housing.
- Batteries for Battlers: Cost of living makes it difficult for aspiring home-owners to save for a deposit. To enable renters to save more, provide funding to install solar and batteries in rented accommodation.
2. Taxation of Foreign-Owned Homes
Objective: Address the disproportionate impact of foreign investment on housing availability and affordability.
Policy: Implement an annual tax on foreign owners of residential properties. A tax rate of 5% of the property's assessed value for foreign-owned occupied homes and 10% on foreign-owned residential properties that remain unoccupied for more than six months within a calendar year.
3. Tax Empty Homes
Objective: Discourage property owners from leaving homes vacant and increase the supply of available housing.
Policy: Implement an annual tax on owners of residential properties that remain unoccupied for more than six months within a calendar year. The tax rate will be 5% of the property's assessed value.
4. Encourage private investment in new housing
Objective: Provide incentives for investors in new housing stock.
Policy: Allow enhanced negative gearing of 120% for the first 10 years on new build investment property. Negative gearing to be phased out on existing homes.
5. Eliminate inefficient taxes
Objective: Ensure high utilisation of existing housing stock by removing the barriers to downsizing.
Policy: Reduce or eliminate stamp duty on purchase of primary residence. Eliminate the tax break on the Capital Gains Tax. Payroll tax relief for home-building.
6. Incentives to better utilise existing housing
Objective: Maximise the use of empty homes and spare rooms
Policy: Provide incentives for house sharing and use of spare rooms. For example the first $10,000 of income from renting out spare rooms will not impact pensions, grants to modify existing housing into multiple units (eg modify a 4 bed, 2 bathroom house into two 2 bed 1 bathroom homes)
Implementation Strategies
A. Establishing a Housing Trust Fund
To manage and allocate funds for housing initiatives, create a Housing Trust Fund financed through the taxes on empty homes and additional government contributions.
B. Collaboration with all levels of Government
To ensure policies are tailored to local housing needs and challenges, work with municipal governments to identify areas with the highest need for affordable housing and prioritise modular housing projects in those areas.
C. Incentives for Property Owners
To encourage property owners to rent out or sell unoccupied homes, provide tax incentives and grants to property owners who convert vacant properties into rental housing or sell them to local residents.
D. Monitoring and Compliance
To ensure effective enforcement of the policy measures, establish a monitoring system to track property occupancy and enforce tax regulations. Penalties will be imposed on owners who fail to comply with the occupancy requirements.
E. Inquiry into Stamp Duty
Stamp Duty is a significant impediment to buying a new home or moving home, whether for first homeowners, established homeowners or empty nesters wishing to downsize. To address the negative impacts of Stamp Duty, an expert enquiry to be held to review the impediments and implement solutions to home ownership.
Expected Outcomes
Increased Housing Supply: Reduced number of vacant homes and increased availability of homes.
Improved Affordability: More affordable rental and ownership options for all Australian residents.
Sustainable Communities: Development of sustainable housing solutions that promote community well-being.
Responsible Ownership: Encouragement of property owners to utilise their properties effectively, contributing to the overall health of the housing market, the wellbeing of the community and a strong economy which supports a strong society.
Address the Housing Crisis: The House Party of Australia is dedicated to addressing the housing crisis through innovative and equitable solutions. By taxing empty homes, incentivising responsible ownership of real estate, and investing in housing, we aim to create a future where everyone has access to safe and affordable housing.