With only three more weeks until the Federal election on May 3, both major parties have come out with signature policies which they think will directly address one of the biggest election issues that is facing the nation – housing.

Labor’s policy centres around a $10 billion build to 100,000 homes specifically for first-home buyers. Simultaneously they will allow first home buyers access to 5 per cent deposits (purchasing a home normally requires a 10–20 per cent deposit) through a loan guarantee from the Federal Government. 

The Liberal-National Coalition has announced it will allocate $5b to fund essential infrastructure like water, power and sewerage to unlock up to 500,000 new homes. In addition, Opposition Leader Peter Dutton has announced that interest payments on mortgages taken out by first-home buyers on newly built homes would be tax deductible for five years. 

There is a clear focus on first home buyers and ensuring "the Australian Dream" still exists for the younger generation, some of whom will be voting for the first time at this year’s election.

Both parties have also committed to a two-year ban on foreign investors purchasing existing homes.

While on paper, the policies are well meaning and well intended, they have been lambasted by economic and housing experts.

Chris Richardson, a former Australian Treasury official and economic commentator labelled both parties’ platforms "a dumpster fire of dumb stuff", and Saul Eslake who has worked for ANZ and the Bank of America Merrill Lynch called the Coalition’s tax deduction on mortgage payments the "candidate for dumbest policy decision of the 21st century". 

Ouch. 

Ultimately, it comes down the laws of supply and demand. Tax offsets, subsidies and making it "easier" to purchase a home will inherently drive up demand. If this demand is chasing the same number of homes, prices will go up. 

The national discourse on housing has collided with Kiama Municipal Council's draft Housing Strategy v2 that our community is currently reviewing in the context of our own housing predicament.

As the most expensive place to buy a home in regional NSW and in the running (again!) for the Top Tourism Town in Australia award – this is an issue we must grapple with.

Kiama Council has shown incredible foresight by reaching out to the community and running the Housing Strategy Forum at The Sebel, which laid bare the state of our situation and the needs for action. 

We think community housing expert Natallie Allan put it best when she referenced historical news articles from the Kiama Independent. The articles covered "controversial" decisions that were decried at the time, but ultimately "all the things that we now look at and say this is the character of Kiama, were the things what we were arguing against when they came in".

Another panellist, real estate expert Simon Kersten, noted it is almost impossible for a young person in Kiama to achieve buying their own home and Ms Allan noted that there were probably three people under the age of 30 in attendance at the Forum. 

The Bugle’s View is that we need to change our ways, our thinking and our views.

Our views can be our views, but we need to also understand that adopting self-righteous approach from some sections of our community might compromise the future and next generation of that very same community.