This article analyzes the impact of Australian Labor and Coalition parties' housing policies on first-home buyers. The analysis uses several assumptions, including a 3% annual wage growth, 4% mortgage insurance cost, and 5% annual superannuation returns. It acknowledges that the modeling is not reflective of individual circumstances.
Both parties aim to increase housing supply, with Labor promising $10 billion for 100,000 homes and the Coalition $5 billion for infrastructure development. Both also plan to limit migration. The article highlights the sensitivity of the policy's benefit to factors such as the real rate of return on superannuation, interest rates, property value increases, and personal choices.
The Coalition's policy benefits could be amplified if buyers choose more expensive properties leveraging their super. The article emphasizes that the modelling involves simplifying assumptions that might not reflect all personal financial situations and preferences.