GSE1963 - I would rather all that money be returned people in reduced taxes. I don't think the Commonwealth Government can do much to help people own their own home. This is becasue if they spend more money (or provide tax subsidies like negative gearing) they just push up prices, making housing less affordable. The housing market is not like other more functioning markets as the supply side is relativley fixed due to state planning regimes and inefficent state development taxes.
If the governemnts should intervene in the property market it should be on the supply side, not the demand side. Investing in public housing will not increase supply as it will just take space from private housing, so that is definetley not the answer! I agree.
