Fresh funding to help build 21,350 new social and affordable homes across Australia has become available in the latest bid to help vulnerable people relying on the country’s under-strain public housing system.
Federal government-backed Housing Australia has opened the third funding round of the $10 billion Housing Australia Future Fund (HAFF) to deliver the remaining homes promised to meet its national target of 40,000 new social and affordable homes by 2029.
It’s the largest round to date after funding a pipeline of 18,650 new homes already through its two earlier rounds, but the HAFF has come under fire for failing to deliver its promised new social homes fast enough.
Greens finance, housing and homelessness spokesperson Senator Barbara Pocock said the federal government should fund social and affordable housing directly.
“Labor needs to stop faffing around with the HAFF, which is too slow and too complex, and it needs to stop fuelling demand with policies like the 5% deposit changes which just make the crisis worse,” she said.
“The government must immediately fund social and affordable housing directly to drive down rental prices.”
The Albanese government promised the HAFF at the 2022 election but it didn't start until late 2023 after a drawn-out battle with the Greens. It has only completed just shy of 1,000 homes with more than 9,000 currently under construction.
The HAFF has opened funding to help building 21,350 new social and affordable homes across Australia. Picture: Getty
Housing Australia chief executive Scott Langford said the scale and design of the third round offered unprecedented opportunities to deliver long-term outcomes that supported diverse locations and cohorts and addressed acute housing needs, nationwide.
“From today, Housing Australia is calling on partners to propose housing projects that will deliver safe, accessible and affordable homes and housing security for Australians in need,” he said.
“The momentum we’re seeing through the first two rounds reflects genuine partnerships and a shared determination to expand the supply of social and affordable housing.”
Australian Community Housing, Housing Industry Association and other housing groups have backed the new funding round.
Greens Senator Barbara Pocock says the federal government should immediately fund social and affordable housing directly. Picture: Hilary Wardhaugh/Getty
Australian Community Housing chief executive Mark Degotardi said the HAFF was hitting its stride through a combination of ambition and delivery.
“Community housing providers are ready to build and get people into these homes fast,” he said.
“We will not just be delivering roofs over heads, but stable homes that help people build lives and strengthen communities.”
Housing Industry Association managing director Jocelyn Martin said the first and second rounds of the HAFF funding had received significant interest from the home building industry.
“Builders remain committed to boosting the supply of much needed social and affordable housing,” Ms Martin said.
“It is hoped through this latest round of funding and the current review into the operation of the HAFF, we can see meaningful improvements to the program and result in fast tracking this latest round of funding and streamlining the delivery of more homes faster.”
It comes as new Productivity Commission analysis revealed on Thursday that there were 432,129 social housing dwellings across Australia in June 2025, up from 410,216 in 2016.
The proportion of households in greatest need who waited more than two years for a new public home decreased from 25.5% in 2023-24 to 22.8% in 2024-25.
The Albanese government has promised to spend more than $40 billion to address Australia’s housing crisis through initiatives including the HAFF, new housing infrastructure spending, the 5% Deposit Scheme and the Help to Buy scheme.
The latest figures report there are 432,129 social homes across Australia. Picture: Jesse Thompson/Getty
Many households have experienced unprecedented housing and financial stress right across Australia in recent years amid the cost of living crisis, which included increasing rental costs.
The latest PropTrack rental market figures showed the national median weekly rent was at a record $650 in December 2025, reflecting a rise of 1.6% over the quarter.
Compared to a year ago, national rents lifted 4.8%, equivalent to an extra $1,560 per year. It marks a significant slowdown from the runaway double-digit annual rent growth recorded across many parts of the country throughout 2022 and 2023.
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