The Northern Territory's government has extended two local housing grants for another year, a move expected to ease pressure on the region's housing market.
Prospective homeowners can apply for the HomeGrown Territory Grant or the FreshStart New Home Grant until 30 September 2026. The previous deadline was 30 September 2025.
"This will absolutely help with the housing shortage," Janine Ashmore, cofounder and director at Darwin-based Bliss Home Loans, told Australian Broker. "All the land developments up here are sold out. It's really hard at the moment to find housing, for anyone really."
The three programs – the HomeGrown Territory Grant, FreshStart New Home Grant and First Home Owner Grant – were originally launched in October 2024. Since then more than $7 million have since been paid out in grants. The First Home Owner Grant, which offered $10,000 for an existing property, will be phased out 30 September of this year.
While Ashmore said the grants are "wonderful," she also acknowledged that building a home was still a costly endeavor, especially in the Northern Territory's capital city.
"Build prices are just so high," she explained. "A first-time homeowner trying to build up here will have to spend roughly $750,000 for the first home. If you're a young couple on a standard wage, that's a big chunk of your salary. You'd both have to be working."
She said part of the problem is that interstate developers and investors are buying up properties, causing home prices to soar. The median dwelling price in Darwin rose 10.9%, year-over-year, in the 12 months leading up to August, according to a report by National Australia Bank (NAB). The intense competition has led to unconventional buying habits as people scramble to enter the market.
"People are going in and offering a good $100,000 over the purchase price, just so they can beat the investors," Ashmore said. "But then they're being talked into, by the applicants, to basically have no conditions on the contract: no builder compares and no finance period. And they do this before their pre-approval period comes through. They're panicking to beat everyone else."
The broker added that if the Reserve Bank of Australia (RBA) does decide to slash rates again at its November meeting on monetary policy, the problem could only worsen, with increased borrowing capacity intensifying demand in an already undersupplied housing market.
"And rents are going up and it's getting to that point where repayments and rents are pretty much same-same. So why wouldn't you buy?" Ashmore said.
Australian Broker rounded up the details of the two extended schemes.
The grant is for first-time homeowners only, providing $50,000 to put towards building or buying a new home.
The grant can also be used for a new transportable home, as long as it's permanently fixed and legally approved to be lived in.
The home cannot have previously been lived in.
Prospective homeowners have to sign a contract to buy or build a new home in the Northern Territory between 1 October 2024 and 30 September 2026.
The house must be lived in by the homeowners.
Homeowners must be over the age of 18, and Australian citizens or permanent residents.
Available for owner-builders and off-the-plan purchases.
There is no cap on the build or purchase price.
The grant is open to anyone, providing $30,000 to put towards building or buying a new home.
The grant can also be used for a new transportable home, as long as it's permanently fixed and legally approved to be lived in.
The home cannot have previously been lived in.
Prospective homeowners have to sign a contract to buy or build a new home in the Northern Territory between 1 October 2024 and 30 September 2026, or to start building as an owner-builder.
The house must be lived in by the homeowners.
Homeowners must be over the age of 18, and Australian citizens or permanent residents.
Available for owner-builders and off-the-plan purchases.
There is no cap on the build or purchase price.
