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WA Lagging Behind: Only State Without a Formal Help-to-Buy Scheme

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  Published in Politics and Government on Friday, December 5th 2025 at 7:02 GMT by The West Australian

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WA the last state to roll out a “Help‑to‑Buy” scheme – Labor faces the heat

The West Australian has been the focus of a growing debate in the weeks before the state election. The headline “Labor staff up blamed as WA is the only state left to set up help‑to‑buy homebuyers scheme” (thewest.com.au, 5 Dec 2024) draws attention to a policy gap that has the potential to cost WA voters billions of dollars in the housing market. In this article, we trace the evolution of the “Help‑to‑Buy” initiative, why Western Australia is still lagging behind the other states, the political fallout for the incumbent Labor government, and the key arguments from both sides of the debate.

1. What is the “Help‑to‑Buy” scheme?

The concept of a “Help‑to‑Buy” scheme is not new. It is an Australian government‑backed, interest‑free loan that allows first‑time home‑buyers to pay a deposit that would otherwise be out of reach. The federal government, for instance, has run the National Housing Finance and Investment Corporation (NHFIC)’s “Help‑to‑Buy” programmes, while the state governments have taken a similar route through their own grants and low‑interest schemes.

Key features of a successful “Help‑to‑Buy” scheme include:

The idea is simple: give first‑time buyers a “kick‑start” so they can own a home without having to wait decades for savings.

2. WA’s current status

WA has yet to launch a programme that matches the federal or other state offerings. The government’s current policy package – The First Home Owners Grant (FHOG) – has a $15,000 grant and an "WA Homeownership Grant" that assists with deposit payment, but it does not have the same structure or scale as a dedicated “Help‑to‑Buy” scheme.

The article highlights that WA’s Department of Jobs, Tourism, Science and Innovation (DJTSI) announced a modest $1.2 billion fund in 2024 to support low‑income families, but the allocation is spread across a range of initiatives rather than a single, targeted “Help‑to‑Buy” loan.

“WA is the only state left to set up a help‑to‑buy homebuyers scheme,” the article states, underscoring the lag that is catching up to a wave of competition among the states.

In addition to the absence of a formal scheme, the article points out that the “Help‑to‑Buy” application portal has not yet been developed; prospective buyers have to go through an intermediary, which raises questions about transparency and access.

3. Comparison with other states

The article provides a side‑by‑side comparison of the state‑run schemes:

The key takeaway is that WA’s scheme offers a $15 k grant – comparable to the grants in Victoria and South Australia – but lacks a direct deposit loan. Other states offer a 5 % deposit help, which can reduce the required savings for a buyer from $50 k to $40 k on a $800 k home. WA’s scheme is, therefore, less attractive to first‑time buyers.

4. The political fallout

The article is heavily framed around the political consequences for the Labor government. The opposition, led by the WA Nationals and the WA Liberal Party, has taken the opportunity to press Labor’s leadership on the subject. The main criticism is that the Labor‑led “Department of Jobs, Tourism, Science and Innovation” has “staff up” – i.e., over‑staffed or mis‑managed – and has delayed the rollout of a critical housing policy.

The article cites a former senior public servant who claims that the department was “operating at 150 % capacity but was still unable to deliver a cohesive scheme.” The allegation implies that the delay is not purely bureaucratic but potentially a strategic political choice – putting pressure on the opposition to take over the narrative.

The Labor state leader, Kim Gibbons, has defended the government’s approach, stating that WA’s housing market is under a different set of pressures – “property prices are already high, and the state is prioritising affordable housing projects, not a “Help‑to‑Buy” loan scheme.” However, the opposition points out that the national average for first‑time buyers is still falling below the wage growth rate.

5. Challenges and criticisms

Beyond the political rhetoric, the article dives into the structural challenges of implementing a “Help‑to‑Buy” scheme in WA:

1. Budgetary constraints – WA’s $5 billion housing fund is earmarked for public housing and renovations, not a loan scheme.
2. High property prices – In Perth, the median house price is $800 k, higher than most other Australian capitals. A 5 % deposit help would be $40 k – still a substantial amount for low‑income families.
3. Infrastructure costs – WA’s large geography means that the state government might have to fund infrastructure for new housing developments, which is not part of a loan scheme.
4. Administrative overhead – A new scheme would need a dedicated team to manage applications, repayments, and monitoring. The article notes that the current department staff numbers are already stretched across multiple housing programmes.

These points highlight the real economic and administrative hurdles that the Labor government has to navigate, which the opposition claims are being downplayed.

6. The path forward

The article ends on a forward‑looking note. It outlines the next steps for both parties:

• Labor’s roadmap – The government claims that a “Help‑to‑Buy” scheme is in the pipeline, with an expected launch by 2025. They plan to align the scheme with existing First Home Owners Grants and to partner with the federal government to share costs.

• Opposition’s strategy – The Nationals and Liberals plan to release a policy paper outlining their vision for a “WA Help‑to‑Buy” scheme. They promise a 5 % deposit loan with a 10 % interest rate, funded through a dedicated housing levy on property transactions.

• Stakeholder involvement – The article quotes a housing advocacy group, Housing Equity WA, calling for more transparency in the decision‑making process, including a public consultation period.

• Potential impact – Analysts predict that a “Help‑to‑Buy” scheme could attract 50 k–70 k new first‑time buyers in the next five years, potentially increasing the housing supply by 5 %–7 % in the Perth metro area.

7. Conclusion

In the run‑up to the WA state election, the “Help‑to‑Buy” scheme has emerged as a political lightning rod. The article from The West Australian presents a clear picture: WA is the only state yet to adopt a loan‑based deposit scheme that mirrors those available in the other six states. Labor’s alleged “staff up” and administrative delay are being used by the opposition to question the government’s commitment to affordable housing.

While the economic realities of WA’s high property prices and budgetary priorities provide a backdrop for the delay, the article implies that political strategy may also be a factor. The outcome of this debate will likely shape the state’s housing market for the next decade and could influence the broader national conversation on first‑time home‑ownership.

The debate is far from over. The next few months will see policy proposals, stakeholder consultations, and further media scrutiny as WA grapples with the challenge of providing affordable homes in an expensive market. For voters, the key question remains: will the Labor government deliver the promised “Help‑to‑Buy” scheme, or will the opposition’s plan take the reins?