ACT budget to fund affordable housing, build-to-rent projects, expanded stamp duty thresholds

The commitment, outlined in the ACT budget on Tuesday, is among a series of measures aimed at making renting and home ownership more affordable for Canberrans.

Here are the housing commitments you need to know from the ACT budget 2022-23:

In a bid to provide more low-cost rental homes, the government will encourage investors to develop build-to-rent projects with an affordable component.

Build-to-rent is an emerging housing model where a large-scale, rental development is held in single ownership and professionally managed, rather than being sold to individual owners.

The government will discount and waive lease variation charges for investors who incorporate at least 15 per cent affordable rentals into their build-to-rent projects. The affordable homes must be managed by a registered Community Housing Provider for at least 15 years.

A vacant block of land on Northbourne Avenue in Turner will also be released to the market this financial year for a build-to-rent complex with an affordable rental component.

Canberra renter Jennyfer Castellanos has faced the stress and uncertainty of having to find a new home due to a landlord's change of circumstances.

"The market went up so he wanted to sell, so I had to leave the place quickly and I was worried that I couldn't get a place," she said.

She said build-to-rent options could help reduce the cost and time required to move between rentals.

"Moving out, being by yourself and with a dog, it's very stressful. So if you can stay in a place [longer] ... it would be so much better," she said.

Slight adjustments to stamp duty thresholds are expected to deliver further relief to home buyers, specifically those purchasing lower-value homes, first home buyers and people with a disability.

Effective from July 1, 2022, the ACT government has increased the eligibility threshold for its home buyer concession scheme.

To be exempt from paying conveyance duty, the total gross income of all home buyers and their partners must be equal to or less than $170,000 (up from $160,000). The threshold continues to increase by $3330 per child up to a maximum of five children.

MORE A.C.T. BUDGET 2022-23

The eligibility threshold for the disability duty and deferred duty concession schemes have also increased from a purchase price of $750,000 to $1 million.

Owner-occupiers will save $1120 on stamp duty in 2022-23 compared to 2021-22, on properties valued between $260,000 and $1,455,000.

As revealed earlier this month by The Canberra Times, residential rates will increase broadly across the ACT by an average 3.75 per cent.

The rate changes will differ between suburbs, with rates for houses up by an average 8 per cent in some suburbs while house owners in newer suburbs could see a slight reduction.

The 2022-23 budget will see an additional $95 million spent over four years to support social housing and homelessness programs.

More than half of the funding will be used for public housing repairs and maintenance and just under a third will go towards providing 140 of the government's planned 400 additional public housing dwellings.

Homelessness programs that commenced operation during COVID-19 will be given a $7.3 million boost.

The ACT government's latest land release program details plans to deliver 16,417 dwelling sites over the next five years.

In the 2022-23 financial year, the government aims to release 3918 dwelling sites, 75 per cent to be delivered by the public sector and the remainder by the private sector.

The updated program also details new release dates for the Gungahlin suburb of Kenny, which has been delayed due to environmental investigations.

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