What Albanese’s Re-Election Means for the Property Market
With Prime Minister Anthony Albanese securing re-election in April 2025, the property landscape in Australia (especially Sydney) is set for significant transformation. A range of major housing initiatives will now move from policy proposal to implementation, bringing new opportunities for buyers, developers, and investors alike.
At SydneySlice, we break down what this means for the market, and how first home buyers can take full advantage.
Labor’s 5% Deposit Scheme: A Game-Changer
One of Labor’s flagship policies is the expansion of the First Home Guarantee—allowing eligible buyers to purchase with a 5% deposit and incur no Lenders Mortgage Insurance (LMI), thanks to a government guarantee covering the remaining 15% deposit.
Key Features
- No income caps, increasing eligibility.
- Price thresholds raised up to $1.5 million in Sydney.
- Must live in the property—owner-occupier requirement.
What it means in Sydney:
With the median Sydney house price hovering around $1million, this policy slashes the upfront deposit needed from $200,000 to just$50,000—putting homeownership within reach for thousands more buyers.
100,000New Homes: A Supply Boost for First Home Buyers
Labor’s re-election also locks in a $10 billion commitment to construct 100,000 new homes for first home buyers over the next 8years. These homes will be reserved for owner-occupiers, reducing competition from investors and helping rebalance supply.
What We Know
- Construction begins in 2026 with delivery across 8 years.
- Strategic locations near jobs, transport and schools.
- Affordability and liveability are key focuses.
While this will take time to impact the market, it’s a vital move to address chronic undersupply—especially in Sydney’s growth corridors.
Broader Property Policies: A New Era for the Market
Beyond first home buyers, Albanese’s re-election brings in several additional property-related reforms likely to affect the entire housing ecosystem:
Help to Buy Scheme: A shared equity program where the government contributes up to 40% of the property purchase price for eligible buyers—reducing loan sizes and mortgage stress.
Housing Australia Future Fund: $10 billion fund to deliver 30,000 social and affordable homes, including:
- 20,000 social homes (4,000 for women escaping domestic violence),
- 10,000 affordable rentals for essential workers.
National Housing Accord: Targeting 1.2 million new homes in five years via federal, state and private partnerships—designed to alleviate long-term supply constraints.
Two-Year Ban on Foreign Buyers: Aimed at cooling investor-driven demand for existing homes and reserving stock for Australians.
Build-to-Rent Incentives: Tax breaks to encourage institutional investment in rental housing, increasing stock and stabilising rents.
What Should Buyers Do Now?
Albanese’s re-election brings housing to the forefront of the national agenda. For Sydney buyers, especially first home buyers, this means real support, but also intensified competition as more people enter the market with government backing.
Our Advice:
- Act early: Pre-approval and strategic planning are critical before demand spikes.
- Explore existing opportunities: Many benefits apply now—long before new builds come online.
- Leverage expert help: SydneySlice can guide you through eligibility, negotiations, and off-market opportunities in a tightening landscape.
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With Labor’s win confirmed and housing reform on the move, now is the time to position yourself ahead of the market. Whether you're a first home buyer or a returning buyer navigating the shifting landscape, SydneySlice Buyers Agents is here to help you secure the right property with the right strategy.
