Politics Now

Is Labor putting out the housing fire or fanning the flames?

Oct 1, 2025
The Prime Minister returns home to tackle Australia’s housing crisis, questioning if current measures are genuine fixes. Discussion revolves around a 5% deposit guarantee for first-home buyers and whether it truly addresses the housing shortage. The podcast dives into topics like rising construction costs, labor shortages, and fairness for young buyers. Political reactions from the Coalition and Greens highlight differing views on supply and demand, while the ambitious target of 1.2 million homes raises skepticism about feasibility.
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INSIGHT

Is The Scheme Water Or Fuel

  • The government frames the 5% deposit guarantee as more than a small gesture to first-home buyers.
  • The key question is whether it extinguishes the housing crisis or simply fuels price growth.
INSIGHT

Demand Support Risks Inflationary Pressure

  • Demand-side supports like 5% deposit guarantees put more cash into buyers' pockets and likely push up prices.
  • The debate is over magnitude, with Treasury modelling suggesting minor effects but uncertainty remains.
ADVICE

Scrutinize Treasury Assumptions

  • Watch assumptions behind Treasury modelling, especially on future supply when evaluating price impacts.
  • Don't accept headline numbers without checking what supply forecasts they assume.
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