Contents. 1.Background of the policy 2. 2. Overview of

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Contents1.Background of the policy.........................................................................................................................22. Overview of the policy............................................................................................................................33. Future achievement of the policy.............................................................................................................44. Positive and Negative of policy...............................................................................................................55. Implementation of the Policy...................................................................................................................65.1 Housing Subsidies.............................................................................................................................65.2 Grants for social and affordable housing...........................................................................................75.3 Housing Tax......................................................................................................................................75.4 Housing Finanace..............................................................................................................................75.5 Tax exemption for rent......................................................................................................................76. Program created as a result of policy.......................................................................................................86.1 National Affordable Housing Agreement (NAHA)..........................................................................86.2 FHOG................................................................................................................................................86.3 FHSA: First home saving account.....................................................................................................96.4 HPA: Home Purchase Assistance......................................................................................................97. Organizations managing the programs....................................................................................................98. Sustainability of the policy....................................................................................................................10References.................................................................................................................................................121
1.Background of the policyAs a human, there are some basic needs which should be satisfied. One of those needs includehousing. Housing is important as it provides shelter and security to the humans. For some it is asymbol of wealth and for some it is a start up for a business. In Australia, earlier times, most ofthe people were well housed. Australia has been characterized by the quality housing at earliertimes. There were high housing standards in Australia with good house safety. But, not as thecase today. Nowadays Australia is facing a lot of challenges with its housing. Australianshousing is one of the most unaffordable housing in the world. It is due to the less stock, lowaffordability, decrease in outright ownership, and disadvantages in the rental sector. All thesefactors are making the housing problem in Australia a bigger one. Therefore, all these factors areresulting in homelessness, insecurity of housing, less supply of the houses, increase in thedemand for housing and the rise in the prices. Due to all these factors a solution to the housingpolicy of Australia is desired.This fact was highlighted in many newspapers and the government come with a new housingpolicy. Also, new contracts are given by the government for the building of new housing[ CITATION Bee17 \l 1033 ].The government also proposed community housing so that the problemof housing can be solved. Therefore key issues regarding the housing policy were as follows:Affordable housing to everyone.Redevelopment of the old housingNew methods of building efficient housing.Check for second home ownership.Sustainable housing and environmental issuesUnoccupied housing2
2. Overview of the policyDue to the housing crisis in Australia, the Australian government decided to establish newpolicies that will provide affordability to houses. These policies focus on infrastructure projects.The current housing policy includes affordable housing to all classes.2.1 Commonwealth state housing agreement: This plan includes Australian government withstate and territory government. This plan will provide homes for homeless, rent assistance,purchase assistance, and reduction of the crowd in urban areas.2.2 National rental affordability scheme (NRAS):This plan will provide rental assistance bytax exemption and by providing subsidies to the nationals having low to moderate income. Thisplan includes Commonwealth, states and territories. It will also provide financial assistance tothe builders and the investors so that shortage in the housing can be overcome. Also, the NRASis providing financial assistance to the owners who are renting their houses below the market rate[ CITATION Wil102 \l 1033 ].2.3 Commonwealth rental assistance:This assistance is provided to those owners who arerenting their accommodation below the market rate. They have been given a tax benefit. TheExemption is based on the family situation.Rental assistance can be provided by the government by reducing taxes and by giving subsidies.The policy made by the government includes the followingHousing Affordability Fund: Basically the main aim of this policy is to reduce the pricesof the new housing. This is done by the government in different ways. By providingsubsidies, by giving tax exemption, the government is trying to reduce the cost of houses.National Rental Affordability Scheme: This policy is also helping to reduce the rents ofthe housing. The government is giving tax exemption on rents3
Land Release: Releasing the commonwealth land for the development purposes toincrease the supply of the land[ CITATION Aus1410 \l 1033 ].Increase in stamp duty: stamp duty is increased for the second owner.These policies are created for providing affordable rents and housing to the nationals, but thereare some positive as well as the negative of the policies, although these are helping workers in away to reduce wage pressure, but it is also increasing the burden on the government.3. Future achievement of the policyHousing affordability will lead to maintaining the economic growth. It is expected that due to theaffordable prices of housing in the country will grow economically. The competitiveness willincrease. Therefore the pressure of the workers will reduce as there will be less pressure ofwages. Hosing affordability also helps in the worker mobility. It will reduce the mobility ofworkers, which helps in efficient work performance. Therefore worker market will workeffectively, which contributes to the economic growth. It will also help in reducing the inflation.Also by getting secured housing, the health of the worker will improve. This will result in familyhealth stability. Therefore, due to this money can be saved as which is spent on medicals.Education of the students can be attained when living in the safe and secure environment.Reduction of mobility can give job growth, which is ultimately helping the economic growth ofthe country. It also helps in reducing the welfare payments provided by the government.Providing housing for the working class also helps government to get rid of all the subsidiesprovided by them for housing purposes[ CITATION Mar165 \l 1033 ]. Also the tax exemptionprovided by the government. This will help in reducing the financial burden from thegovernment.4
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