After a closely watched race that ended Labor's nine-year reign in Queensland, the new Liberal National Party (LNP) government now has the difficult task of making good on its ambitious housing election commitments.

New Queensland Premier David Crisafulli now faces the challenge of fulfilling election promises, many of which centre on increasing home ownership and rental availability.

The LNP's most ambitious commitment is to construct one million new homes by 2044, with 53,500 dedicated to social housing.

A $2 billion housing infrastructure fund will be established, with half allocated to regional Queensland to deliver affordable housing for essential workers such as police, nurses, and teachers.

This is encouraging news for Queenslanders who have been struggling to find affordable homes.

However, ambitious plans can be difficult to achieve, and the higher the number of properties promised, the harder it will be to build them.

Over the past three years, Queensland has constructed 33,500 new homes on average annually. At this rate, only 670,000 homes would be built in 20 years, leaving a shortfall of 330,000 homes.

New Queensland Premier David Crisafulli ran on a number of big housing initiatives including building a million new homes in 20 years. Image: Bradley Kanaris/Getty

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Additionally, the government has promised to provide the infrastructure needed for new housing developments, including roads, intersection upgrades, lighting, water, sewage, and parks, although finding enough skilled labourers for these projects will be challenging.

Homebuyer shared equity plan

Other initiatives might be more achievable, such as the shared equity plan to help first-home buyers save the deposit needed for a home loan.

Currently, it takes Queenslanders an average of 5.4 years to save a 20% deposit. With a minimum deposit of 2%, the government will cover the shortfall, helping first-home buyers enter the market sooner.

The scheme will initially be open to 1,000 people, which is a small number if it is to have a significant impact, offering up to 30% equity for new homes and 25% for existing homes.

Stamp duty exemptions

Mr Crisafulli has also pledged to abolish stamp duty for first-home buyers purchasing or constructing a new home.

Stamp duty is an additional cost that can delay first-home buyers' ability to purchase a property.

Under the LNP’s plan, a first-time buyer could save $29,000 in stamp duty costs on the $800,000 purchase of a new home.

This initiative could boost the number of properties built with minimal government intervention.

However, the shortage of builders and a backlog of current developments could deter buyers.

The HomeBuilders Grant Scheme of 2020-2021 successfully increased the number of new properties built across Australia, providing hope that this new initiative will also succeed.

The outgoing Labor government increased the first home concession threshold on stamp duty to $700,000 in June, and Mr Crisafulli has vowed to honour this decision.

Easing restrictions on the First Home Buyers Grant

Currently, recipients of the First Home Buyer Grant are not allowed to rent out a room in their new home within 12 months of moving in.

Mr Crisafulli plans to lift this restriction to help alleviate the rental crisis by increasing the number of rooms available to rent.

With rental vacancy rates in Brisbane and regional Queensland hovering around 1%, house sharing has become an alternative for those struggling to find a home.

More rooms available for rent will be a welcome relief for those in need of accommodation.

Election promises are easy to make, but time will tell if the LNP can deliver, particularly regarding housing.

The cost of building new properties and the shortage of skilled construction workers are significant challenges for the construction industry across Australia.

The more ambitious the housing targets, the less likely they are to be met.