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7NEWS
10 hours ago
- Business
- 7NEWS
Queensland Budget: Winners and Losers explained
Premier David Crisafulli says Queensland is 'on the cusp of a golden era' and his government's first budget in a decade showed that it's prepared to spend big to get there. Billions are being poured into housing, hospitals, and household relief. But the plan also brings a record deficit, rising debt, and cutbacks in support for some. So, who came out ahead and who's left wondering? Winners 1. Home buyers get a boost The centrepiece of the budget is the nation-leading 'Boost to Buy' scheme, aimed at reducing the deposit gap and opening the door to home ownership for more Queenslanders. 'The Bank of Mum and Dad — well, a lot of people don't have access to it,' Crisafulli said. 'In a lot of cases, it means that the great Australian dream's become a nightmare, and we don't want that. 'We want people who aspire to own a home, and what this does is it helps reduce that deposit gap. 'It is what we're calling Boost-to-Buy. It is nation leading.' The government will co-invest: Up to 30 per cent in newly-built homes Up to 25 per cent in existing homes (capped at $1 million) Combined with a $30,000 First Home Owner Grant and stamp duty exemptions for new builds, the LNP is making good on its promise to tackle declining ownership. 'Home ownership rates in Queensland are at 63.5 percent, that's the lowest in the country and my vision is to go from last to first within a decade,' Crisafulli said. 'We're doing everything we can to get people into a home.' 'It shows how confident I am about the Queensland property market.' 2. Middle-income families From the grocery run to the school gate, families are being thrown a cost-of-living lifeline. The government has pumped out $11.2 billion in concessions including: $1300 electricity rebate for most households 50¢ public transport fares statewide $100 'Back-to-School' vouchers for every primary school student $200 sports vouchers for eligible kids 'That will support families with the cost of excursions, schoolbooks, uniforms,' said Treasurer David Janetzki. 3. Hospital patients and frontline services The budget also tackles long-standing pressure points in Queensland's health: $29.4 billion health budget (up 10.2 per cent) $18.5 billion Hospital Rescue Plan Funds to slash elective surgery waitlists by 30,000 patients More paramedics, police, and teachers on the way 'For too long, Queenslanders have endured an ailing health system,' Janetzki said. 'We are front-loading the investments into jobs and services now in this budget.' 4. Regional Queensland Nearly 70 per cent of the government's $18.6 billion infrastructure spend for the coming year will go outside of Greater Brisbane covering roads, rail, and renewables. The four-year capital works plan is worth $107.3 billion and is expected to support 72,000 jobs. Losers 1. Low-income households While most Queenslanders receive a generous $1300 electricity rebate this year thanks to federal funding, around 600,000 vulnerable households, including pensioners and concession card holders, will get less. They'll get just $386 in state electricity rebates, up only marginally from $372 last year, while most households will receive a $1300 rebate thanks to combined federal and state contributions. The Queensland Electricity Rebate itself hasn't increased, remaining frozen at $372.20 despite rising energy bills. It's led to criticism the state is leaning heavily on Commonwealth funds to deliver relief, while scaling back its own contributions. Queensland Council of Social Service (QCSS) said this isn't enough and worry that many vulnerable Queenslanders might struggle to pay their power bills. State funding for energy rebates has dropped from nearly $1 billion last year to $353 million this year, as the government winds back temporary cost-of-living relief and leans heavily on federal support. 2. Drivers face higher costs as discounts end Several cost-of-living relief measures introduced last year have now either ended or been scaled back. Additionally, government fees and charges, including licence renewals and registration costs, will rise by 3.4 per cent. Key rollbacks include: The E-Mobility Rebate Scheme for electric vehicle buyers was discontinued in October 2024, with no further funding The 20 per cent discount on vehicle registration ends mid-September 2025 and won't be renewed Extra car rego discounts have collapsed from $399 million to just $36 million As a result, government revenue from vehicle registration is forecast to jump more than 21 per cent next financial year. While public transport fares remain locked in at 50 cents, rising fees, charges, and the end of one-off discounts mean many households will pay more out-of-pocket in areas like motoring and licensing. The big picture Queensland's total debt is forecast to hit a record $205.7 billion by 2028-2029, with an $8.6 billion deficit predicted this financial year. But with cost-of-living relief scaled back, and spending focused on long-term infrastructure and housing, many families will feel the squeeze. Janetzki said: 'We're stepping in to save projects to deliver jobs and services that Queenslanders need.' This marks a clear shift away from blanket relief, with the LNP now focusing on more targeted and means-tested support. But the government remains optimistic about the state's future. 'We're on the cusp of a golden era in Queensland, we really are,' Crisafulli said. 'My message to people across the country — whether you're looking for a great place to live or a place to invest — we're open for business.'
Daily Telegraph
22-05-2025
- Business
- Daily Telegraph
Build new for less: Top spots under $850K revealed
With quality established housing stock dwindling across the country, homebuyers and investors are turning to vacant in-fill land to construct new properties to take advantage of the many benefits that come with building from scratch. National buyers' agency Adviseable has revealed six locations where new homes can still be built for under $850,000, offering buyers an alternative to the often competitive market for established properties. Adviseable Property Buyer Kate Hill said waiting for a suitable established home to enter the market could often take as long as building a new one. 'With the shortage of quality listings in many areas, constructing a property is becoming a viable option for buyers who don't want to wait indefinitely for the right house to hit the market,' Ms Hill said. 'New properties offer better tax deductions, lower maintenance costs, greater appeal to tenants and buyers, and the advantage of builders' warranties for peace of mind. 'Plus, tax depreciation benefits on brand-new homes are substantially higher than on older properties.' MORE NEWS Shame list: 16 more banks cave to RBA cut pressure RBA cut 'straps rocket' to property market 11 homes by 40: Migrant reveals Aus secret First-home buyers also stand to benefit, with potential stamp duty savings and government incentives such as the First Home Owner Grant (FHOG), helping to ease the financial burden of saving for a deposit, Ms Hill said. She adds that another myth about this strategy was prohibitive holding costs during construction, given there was no rental income. 'Stamp duty savings negate the loss of rental income during construction,' she said. 'Say, we build a new property in Queensland for $1.1m with an interest bill on the land and construction loans equating to about $27,00 over the 30-week purchase/construction time frame. 'The savings in stamp duty for building new versus buying an equally priced established property equals about $25,000, so, there is not much difference between the two scenarios at this point, with the stamp duty savings mostly cancelling out the loss of rental income during the period.' MORE NEWS: Surprise way to make $100k from a vending machine Another common misconception is that new builds are prohibitively expensive – but Ms Hill said many property buyers and investors are often surprised to find they can secure vacant land and build a brand-new home for a similar price to the median house price in their chosen suburb. Building in well-established suburbs also eliminates uncertainty over hidden defects, she said. 'Existing properties come with a patchwork of materials, fixtures, and appliances, all at different stages of their lifespan. Over the years, I've seen plenty of building and pest inspection reports reveal shocking surprises lurking beneath the surface of older homes,' Ms Hill said. 'Building from the ground up provides control. Everything is brand new, covered by warranties, and built to last.' Six locations for new in-fill houses under $850,000 Ballarat, Victoria Ms Hill said Ballarat presents a compelling case for both homebuyers and investors, thanks to its strong economy, significant infrastructure projects, and affordability. 'It offers a cost-effective alternative to Melbourne while still benefiting from its proximity, thanks to the upgraded fast train service,' she said. 'The city boasts a diverse economy beyond its historic mining roots, including manufacturing, agriculture, and technology hubs. 'Population growth is steady, rental vacancies are low, and land values have surged.' Major projects like education and healthcare expansions, and wind farms further enhance its investment appeal, ensuring long-term capital growth potential, she said. Geelong, Victoria Ms Hill said Geelong has emerged as a top-performing regional property market, attracting buyers and investors with its booming economy, major infrastructure projects, and affordable housing. 'The city's population is forecast to reach 500,000 by 2047, supported by diverse employment opportunities across multiple industries,' she said. 'Geelong also provides a more accessible entry point compared to Melbourne. Ultra low vacancy rates ensure strong rental demand, while its proximity to Melbourne enhances long-term appeal.' Large-scale urban expansion plans, including new residential precincts and employment hubs, reinforce Geelong's status as a high-growth investment location, she said. Moreton Bay, Queensland Ms Hill said Moreton Bay, a designated growth area in Greater Brisbane, presents strong opportunities for homebuyers and investors. 'Affordability remains a key draw. Major infrastructure projects – such as the new university in Petrie, Caboolture Hospital redevelopment, and Caboolture West growth precinct – enhance long-term investment potential,' she said. 'The region is set to accommodate rapid population growth, reaching 500,000 in two decades, supported by planned transport networks, business hubs, and new schools. 'Its diverse housing options, extensive green spaces, and strong government-backed development ensure sustained demand, making Moreton Bay a promising investment location for homebuyers and investors.' Northern Adelaide, South Australia Ms Hill said Northern Adelaide stands out as a thriving property hotspot, driven by robust infrastructure projects and economic growth. 'For example, the City of Salisbury benefits from major industrial developments, including the $1.9b Edinburgh Parks Precinct, alongside strong employment opportunities in defence, logistics, and food manufacturing,' she said. 'Meanwhile, Playford is South Australia's fastest-growing LGA, offering affordable housing, exceptional rental yields, and large-scale urban regeneration. 'Government-backed projects, such as the $250 million Playford Alive Town Centre redevelopment and multiple transport upgrades, enhance long-term investment appeal.' With low vacancy rates and rising home values, Northern Adelaide presents a compelling opportunity for both homebuyers and investors, she said. Northern Perth, Western Australia Ms Hill said the northern reaches of Perth offer a strong investment opportunity with affordable property prices, major infrastructure developments, and a growing population. 'Homebuyers can access coastal living alongside excellent amenities, including schools, medical facilities, and transport links,' she said. 'Investors benefit from low rental vacancy rates, steady population growth, and significant government-backed projects, such as the Metronet rail extension and large-scale residential developments. 'Key suburbs like Alkimos, Yanchep, and Two Rocks are fast-growing, ensuring continued demand. This region is poised for long-term capital appreciation and solid rental yields.' Toowoomba, Queensland Ms Hill said Toowoomba's property market is thriving, offering homebuyers and investors a stable and affordable alternative to Brisbane. 'Key infrastructure projects – such as the Toowoomba Wellcamp Airport and Toowoomba Bypass – enhance connectivity and attract new residents,' she said. 'The city boasts a diverse economy, low unemployment, and strong demand from first-home buyers, retirees, and tree-changers. 'With a history of steady capital growth and resilient market conditions, Toowoomba continues to stand out as a promising location for long-term investment and solid rental returns.'
