The Albanese government will help deliver more than 51,000 new homes in Queensland, including 20,000 for first homebuyers, after a landmark deal with the Sunshine State.
The deal is the latest between state and federal governments aimed at funding home-enabling infrastructure, including roads, water and sewage.
Earlier this year, the Albanese government signed similar agreements to help enable 4000 new homes across Tasmania and more than 34,000 homes in Western Australia.
Housing Minister Clare O’Neil said the Queensland deal would open up tens of thousands of new homes to residents “with no competition from investors”.
“We’re investing in the boring but essential infrastructure like roads and sewerage that help us unlock more homes for Queenslanders, because the more homes we build, the
more affordable housing becomes,” she said.
Queensland Deputy Premier Jarrod Bleijie said more homes across the Sunshine State were “needed and fast”.
“Availability equals affordability and by providing funding to get the vital infrastructure like roads, water, sewerage and power in place, the builders can get building,” he said.
“More and more people are wanting to become Queenslanders every day, and we’re working to ensure they have a place to call home.”
As part of its deal with David Crisafulli’s Liberal-National’s government, the commonwealth will chip in $2bn for supporting infrastructure, including $399m in grants and $1.6bn in zero-interest concessional loans.
The state government will provide a matched contribution of $399m.
It will be targeted at Priority Development Areas at Mount Peter, near Cairns, Southern Thornlands, and Waraba, with the first homes set to be completed by mid-2028.
The deal is part of a $6.3bn pledge by the federal government to invest in enabling infrastructure, which includes a new $2bn Local Infrastructure Fund announced as part of the 2026-27 budget.
Treasurer Jim Chalmers said the government was investing in new homes and reform tax settings – namely negative gearing and the capital gains tax – to make it fairer and to put “first home buyers ahead of foreign investors”.
“We’re coming at this housing challenge from every responsible angle, and this budget builds on our ambitious housing agenda,” he said.
The Queensland government has committed to delivering one million new homes by 2044 to address the state’s housing crisis, including 53,5000 social and community housing builds.
It has separately invested $2.4bn in housing-enabling infrastructure, including through the Residential Activation Fund.
It comes at a time of renewed focus on Australia’s housing crisis.
After multiple measures aimed at boosting supply and making it easier for first homebuyers to get a loan, the Albanese government is now turning to changing tax arrangements.
On the other side, the Coalition have pledged to scrap some of those measures and instead sought to cut red tape and tie net overseas migration – widely seen on the political right as a main driver in housing unaffordability – to housing completions.
