{{propApi.title}}
{{propApi.text}} {{region}} Change location{{propApi.title}}
{{propApi.successMessage}} {{region}} Change location {{propApi.title}}
{{propApi.text}} {{region}} Change location{{propApi.title}}
{{propApi.successMessage}} {{region}} Change locationCan the Feds lower housing costs faster than states can increase them?
Can the Feds lower housing costs faster than states can increase them?
Member and guest login
Enter your email and password to access secured content, members only resources and discount prices.
Did you become a member online? If not, you will need to activate your account to login.
If you are having problems logging in, please call HIA helpdesk on 1300 650 620 during business hours.
Forgotten password
Need some help?
If you are having problems logging in, please call HIA helpdesk on 1300 650 620 during business hours.
If the email address you have entered is registered, you will receive an email with further instructions.
Become part of the HIA community
Enables quick and easy registration for future events or learning and grants access to expert advice and valuable resources.
Create a guest account
Enter your details below and create a login
Send me exclusive tips, early access to new launches, and special offers. I can change my mind at any time.
By clicking Get started now you agree to the terms and conditions and privacy policy.
“For example, the Victorian Government has just introduced legislation that will:
- Introduce a new building insurance scheme which will increase the cost of premiums, further limit the number of homes many home builders may build, and deny some home builders insurance which they need to legally operate;
- Introduce a new development bond for projects outside the domestic building insurance system that will add at least 2 per cent to the cost of building homes;
- Stop home builders from seeking payment for their work until the client lets the regulator know that they don’t want to make an insurance claim against the builder;
- Allow the regulator to make a rectification order for minor defects against a home builder or developer for more than ten years after completion of a project; and
- Deny the builder the opportunity to review a rectification order – an effective right of review is necessary to determine if the defect is the builder’s responsibility.
“This Victorian legislation will strangle the businesses of home builders and force many to exit the industry, reducing competition and adding further to the costs to construction.
“The additional requirements in Victoria will go a long way to offsetting the reduction in lenders mortgage insurance requirements proposed by the Prime Minister a week ago.
“This is in addition to a range of new taxes added to the cost of new home building in Victoria which includes:
- Value capture tax: on its own is an efficient tax, but without a reduction in Stamp Duty, it is simply an additional tax on land supply.
- Second home taxes: Which will see the state government increasingly dependent on taxing housing as their primary source of revenue.
“The ideal solution to increasing housing supply is to first stop governments increasing the cost of home building, such as in Victoria. Then to remove taxes, red tape and delays and reduce infrastructure costs. This will take decades to flow through to households as lower new home building costs.
“In the short term however, the only way in which the Australian government can lower the cost of home building is through policies similar to those both parties announced last week that provide financial support to first home buyers to build new homes.
“To achieve this outcome, substantial taxation reform is likely required to remove state government dependence on housing taxation. This should include removing the GST from new homes, as it is imposed on new homes but not on established homes, until such time as Australia builds 1.2 million homes within five years.
“Housing is taxed less like a necessity and more like a vice, like alcohol or tobacco,” concluded Ms Martin.
For more information please contact:
Infrastructure and housing key to unlocking Hunter and Central Coast growth
Housing Industry Association (HIA) Industry Outlook Breakfast in Newcastle and Gosford have highlighted the critical role of infrastructure, planning reform and industry support in addressing housing supply challenges across the Hunter and Central Coast regions.
Regional housing must be a priority in the 2026 Victorian election
The Housing Industry Association (HIA) is calling on all political parties contesting the November State election to make regional housing a priority, placing regional communities and their growing populations front and centre of their pre-election policy commitments.
The NSW Budget builds on existing housing supply reforms
“HIA welcomes the initiatives to support new housing announced by the Treasurer as part of today’s NSW State Budget,” said Brad Armitage HIA NSW Executive Director.
Building indemnity caps lifted to combat rising building costs
On 1 July 2026, builders will receive a 9% increase to eligibility and job profile limits for building indemnity insurance. These changes are designed to keep up with rising construction costs and are a welcome change for the industry. This is one update you don't want to overlook - keep reading to find out if you are eligible, or what you can do to opt-out.