Greens Eager to Discuss Housing Reforms with Labor

The Greens are persistently urging the government to engage in negotiations with their party to tackle Australia’s housing crisis.

Labor’s attempts to pass two bills—Help to Buy and Build to Rent—have hit roadblocks due to lack of support from the Greens and the Coalition.

In a media statement on September 24, Greens MP for Griffith Max Chandler-Mather emphasized the need for a negotiation and a counteroffer from the government regarding their concerns.

Greens Criticism of Help to Buy

Chandler-Mather criticized the Help to Buy Bill, arguing that it does not effectively address Australia’s housing crisis as it primarily inflates prices in the existing private market rather than creating new homes.

The bill proposes a shared equity scheme to assist low-income individuals and families in entering the housing market. However, Chandler-Mather pointed out the flaws in a similar scheme in New South Wales, which failed after two years.

Chandler-Mather also raised concerns about the limited scope of the scheme, with only 10,000 applicants benefiting annually out of 5.5 million adult renters in Australia. Strict income eligibility criteria further hinder access to the scheme.

The Greens MP highlighted issues with the price caps in the scheme, which are below median dwelling values in certain regions, making it challenging for buyers to find suitable homes within the scheme’s limitations.

While the government defends the price caps as a measure to prevent inflation in house prices, Chandler-Mather argued that it impedes access to affordable housing in overheated markets.

Minister for Employment, Senator Murray Watt, defended the Bill, emphasizing its role in helping people purchase homes, even if not everyone can benefit immediately.

Prime Minister Anthony Albanese expressed displeasure towards the Coalition and the Greens for obstructing Labor’s efforts to increase housing supply.

The Bill is scheduled for reintroduction in Parliament on Nov. 26.

On the Build to Rent Scheme

Chandler-Mather criticized the government’s Build to Rent scheme, highlighting concerns about tax incentives primarily benefiting foreign investors and loopholes that could compromise affordability in the long term.

Housing Minister Clare O’Neil has indicated that the Albanese government is not considering amendments to the build-to-rent incentives at this time.

The bill is currently under review by the Parliamentary Senate Committee.

Greens’ Proposals

The Greens propose implementing a freeze on rent increases to provide immediate relief amidst soaring rent prices. They advocate redirecting funds from tax incentives for property investors to public housing projects, aiming to make homeownership more accessible for renters.

The Greens also suggest constructing 360,000 homes over five years with capped rents and establishing a National Renters Protection Authority to enforce rental laws and protect renters’ rights.