The federal government has extended its low-deposit guarantee scheme for first home buyers, broadening eligibility to a wider band of regional postcodes and lifting price caps in several capital cities.
Housing groups welcomed the move but cautioned it does little to address the underlying supply shortage driving affordability pressures in major markets.
“Demand-side support without more supply just risks pushing prices up further at the margin,” one housing economist said.
The changes take effect from the start of the next financial year.