Why new home builders are the winners of the 2026 federal budget

Over the past 5 years, the number of new homes being built across Australia has steadily increased, and the 2026 Federal Budget makes one thing clear: the government wants to keep this momentum going.

Prime Minister Anthony Albanese has made housing supply a high priority, with a strong focus on helping younger Australians enter the property market through the construction of new homes.

To support this goal, the government has committed $2 billion towards infrastructure projects including roads, electricity, water, sewerage and other essential services designed to accelerate housing development. The investment is expected to support the construction of 65,000 new homes – an additional gain of approximately 30,000 houses.

Why is now the best time to build?

A major theme of the budget is encouraging the construction of new homes while reducing some of the benefits of purchasing established properties.

Alongside the $2 billion infrastructure fund, the government has also announced the support for faster planning approvals and large scale housing construction targets. Over the next four years, this is expected:

• Drive more land releases in high growth corridors.
• Improve infrastructure in emerging suburbs.
• And increased employment opportunities within the construction industry.

For buyers, this may create more opportunities to secure land in developing communities.

The budget also continues to support initiatives such as the 5% Deposit Scheme, which is designed to help eligible first home buyers enter the market sooner with a smaller upfront deposit and no Lenders Mortgage Insurance (LMI) fees.

For investors, you retain existing tax benefits while also having the opportunity to choose the new method if it gives you a better tax outcome. This means you may either have the existing 50% CGT discount, or the new indexation method with the minimum tax. This is deliberate incentive to direct investors towards building new homes.

Final thoughts.

The property market is always evolving, and government policy is just one part of the big picture. What matters most is understanding your own situation and finding the approach that feels right for you.

If you’ve been considering buying or building, the recent changes may prompt you to explore your options in more detail.

For first home buyers, the combination of housing initiatives, infrastructure spending, and low deposit schemes is designed to make entering the housing market more achievable. For investors, the policy direction increasingly favours new construction over established property purchases.

For anyone considering a property purchase or investment, the decision to choose between new or established housing is now a more meaningful factor in the financial equation. Make the sensible step forward and speak to MyChoice Home Loans about investing in your future today.

While the landscape will continue to shift, one thing remains consistent – with the right advice and a clean plan, getting into your home is still very much within reach.

Important: Information in the above is opinion based on the Federal Budget announced on 12 May 2026. All measures are proposed only and remain subject to further detail, Treasury drafting, and Parliamentary approval. This content does not constitute financial, investment, or tax advice, and Brighton Homes does not provide such advice. Customers should seek independent advice before making any decisions.