Tanya Plibersek (Sydney, Australian Labor Party, Minister for Housing) Share this | Hansard source

This government understands that the housing and construction sector is critical to our economy; indeed, it employs about nine per cent of all employed Australians. That is why, as part of our economic stimulus measures, we have taken two very important policy steps to support jobs in this area. The first is through the first home owner boost in the economic stimulus strategy, and the second is the increased spending on social housing in the Nation Building and Jobs Plan. The member for Forde has told me, because he is very much in touch with builders, developers, real estate agents and others who have their fingers on the pulse in his electorate of Forde, that the measures are already having a clear effect in his area. Indeed, one of the principals of Dixon Realty in Jimboomba, Jeff Dixon, told the member for Forde that he estimates that upwards of 80 per cent of home sales under $400,000 in the Forde electorate are directly related to the government’s first home owners grant. Mr Jason Luckhardt from AVP Realty in Beenleigh told the member for Forde that, having experienced a 60 per cent drop in sales, the first home owner boost has seen first home buyers returning to the market in the same sort of numbers that were present before the global financial crisis. Mr David Manfield from Heritage Realty Queensland told the member for Forde that he believes the first home owner boost:

... has turned the market around. The flow-on travels throughout the whole market and building game.

Commentators from around Australia are saying that the first home owner boost has been successful. Last week, Westpac Senior Economist, Andrew Hanlon told ABC Radio:

Lending to that segment has jumped sharply—up 60 per cent in five months. Finance approvals for the construction of new dwellings has also lifted sharply in the last couple of months, and that will certainly be a positive for housing construction.

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