The “First Home Buyers Grant” was introduced in July 2000 by the Howard government of the time. The housing grants were revolutionary at the time and were born from increasing tension between demand and supply in housing stock, especially in the capital cities like Sydney.

25 years later in 2026, federal governments are still trying to come up with ways to help people purchase (their first) property for housing. 

 

For these reasons it might seem like housing affordability and supply issues are a more recent phenomenon, especially in a ‘cost of living crisis’. 

However, governments have been providing support for housing since the end of the first world war and even since the convict days, where ex-convicts were given the chance to obtain land or holdings at discounted rates in order to help establish the new colony Australia. 

1918 – Ex-service personnel were offered special loans with the option to purchase over long periods of occupation. 

Public housing areas were established as early as 1900 with Millers point and the Rocks. However public housing was mainly fuelled by the post war era of 1940’s onwards. This period saw many of Sydney’s suburbs develop. 

1950’s onwards – Governments were heavily involved in housing construction, with a focus on ex-service people and  their families, after the end of the 2nd world war. 

Around the same time, grants for low-income people were offered on residential loans.

By the 1960’s public housing estates and inner city towers were being constructed, primarily for low income, indigenous people, people with a disability or elderly people. 

By the 1980’s public housing was ‘falling out of favour’ (as an idea) for Governments. Government funding and housing construction involvement were drastically cut.

The ‘Housing Act 1985’ and the ‘Department of Housing’ were established at the same time in the mid 1980’s.

Many famous public housing developments such as the Rocks, Millers Point and the The Block in Redfern were ‘dismantled’ and redeveloped in the 2010’s and 2020’s.

Privatisation of the construction and housing sector has been the norm since this time. 

State governments now choose ‘public private’ contracts for major infrastructure projects.

That was until the current Federal Albanese Government announced a range of assistance measures, aimed at both supply and demand problems. Many of these include direct Government involvement / participation. 

Some of these measures are detailed on further pages on our website. Such as what is the Government’s 5% deposit scheme?