Queensland’s rebuilding efforts will impact government affordable housing schemes that target low and moderate income earners.

Under the funding plans, the number of new affordable rental dwellings to be built under the National Affordability Rental Scheme (NRAS) will be reduced from 50,000 to 35,000.

The supply of housing for low to moderate income earners will be further affected with half of the $200M budgeted for the Building Better Regional Cities program to be redirected.

This program was established to build up to 15,000 more affordable homes in regional cities and relieve pressure on major capital cities so Australia can grow sustainably.

“Families on low to moderate incomes are already facing housing stress due to rising home prices and soaring rents. These programs are designed to redress this situation impacting Australians across the nation,” said Residential Development Council (RDC) Executive Director Caryn Kakas. “The NRAS is at a crossroads, but this decision puts it one step closer to a dead end. "

She added: “With Australians facing high prices as a barrier to both purchasing or renting a home, initiatives such as the NRAS and Building Better Regional Cities program are vital to ensure the housing needs of low to moderate income earners can be met.”

“The floods and the subsequent devastation in Queensland are massive and we fully support and appreciate the need for the Government to financially assist in the recovery."

Newsletter: To receive real estate update, sign up here