Politics · Australia · 7 hrs ago
NSW housing group proposes rental levy and tax changes to fund new homes
A NSW community housing group has proposed new taxes and levies to help fund more social and affordable homes.
Its ideas include a 7.5 per cent charge on short-stay rentals such as Airbnb and Stayz, higher land tax rates for larger holdings, and a charge on land value gains after rezoning.
The group says the measures could raise about $26 billion over 10 years and support around 50,000 new homes by 2050.
The proposals come as 72,000 NSW households are on the social housing waiting list, according to the group.
The NSW government says it is investing $6.6 billion in housing, including 8,400 new public homes, and welcomes ideas from the sector.
The group will present its research to the NSW Parliament, but the proposals are options for the government to consider, not an agreed plan.
The Community Housing Industry Association NSW is proposing new taxes and levies to raise money for social and affordable housing.
The proposals include a 7.5 per cent levy on short-stay rentals, land tax changes and a charge on land value increases after rezoning.
The association says the measures could raise about $26 billion over 10 years and support around 50,000 new homes by 2050.
It says the funding is needed to address a social housing waiting list of 72,000 households.
The NSW government says it is investing $6.6 billion in housing, while the state opposition says the funding is not being used quickly enough.
- Who
- The Community Housing Industry Association NSW (CHIA NSW) is proposing the measures to the NSW government.
- What
- It proposes a short-stay rental levy, land tax changes and a charge on land value increases after rezoning to fund housing.
- When
- The research was published on November 3, 2026; CHIA NSW said it would present it at an event in parliament that day.
- Where
- New South Wales, Australia.
- Why
- CHIA NSW says the measures could support more social and affordable homes and help address lengthy housing waiting lists.
NSW Labor government
NSW Coalition opposition
Use of the housing funding
NSW Labor government
The government says it is investing $6.6 billion to deliver tens of thousands of social and affordable homes.
NSW Coalition opposition
The opposition says the government is not using the $6.6 billion package quickly enough.
Housing delivery
NSW Labor government
The government says it is building 8,400 public homes and welcomes constructive ideas from the sector.
NSW Coalition opposition
The opposition says the government is 40 per cent behind its National Housing Accord target and that the waiting list has grown from 55,000 to 72,000.
CHIA NSW commissioned research on proposals to raise funds for social and affordable housing.
ABC Australia published the report on CHIA NSW's proposals and responses from government and opposition figures.
CHIA NSW said it would present the research at an event in the NSW parliament.
- Short-stay rental levy
- 7.5 per cent; expected to raise $135 million annually
- Land tax changes
- Rates proposed to rise to 2 per cent and 2.5 per cent, with a new 2.9 per cent rate for holdings above $50 million
- Rezoning windfall charge
- Proposed to raise $80 million a year
- Potential revenue
- $25.9 billion over 10 years from the land tax changes
- Housing target
- Around 50,000 new social and affordable homes by 2050
- Waiting list
- 72,000 NSW households remain on the social housing waiting list
What people are saying
Whilst we acknowledge the government's record $6.6 billion building homes for NSW package, we argue that funding should be turbocharged.
We need to move beyond funding cliffs and establish a long-term investment pipeline that gives community housing providers the certainty to keep building homes year after year,
We're building 8,400 new public homes that will be owned by the people of NSW and remain part of the public housing system for generations,
We need to be building more of everything, everywhere, all at once, and community housing is a key part of that housing mix,