Government Incentives for Build-to-Rent Projects in Australia
Behind every great Build-to-Rent community is serious government policy. In 2024, the Australian Government introduced tax incentives designed to boost rental supply and encourage developers to invest in long-term housing. Here’s how it works - and why it matters to renters.
The New Tax Incentives (2024–25)
The federal reforms introduced:
- Accelerated Depreciation (4%) - allowing faster write-offs for building costs.
- Reduced Withholding Tax (15%) - for Managed Investment Trusts that hold eligible BTR assets.
- 15-Year Ownership Rule - ensuring developments remain rental-only for the long term.
- 10% Affordable Housing Requirement - promoting inclusion and affordability within BTR projects.
Why It Matters for Renters
These incentives make it more financially attractive for developers to build high-quality rental housing - meaning:
- More supply
- Better design standards
- Longer lease options
- More professionally managed buildings
It’s a win-win: stable returns for investors, and better homes for Australians.
State Support
Several states also offer extra benefits:
- Victoria: Land tax discounts and faster planning approvals.
- NSW: 50% land tax reduction for qualifying projects.
- QLD: Infrastructure charge relief and development bonuses.
The Goal
To make renting more secure and sustainable. Australia’s housing shortfall needs innovative solutions - and BTR, backed by these incentives, is helping bridge the gap.
The Takeaway
These policies aren’t just good for developers - they’re building a future where renters can finally access high-quality, affordable, long-term homes. That’s what the modern Australian dream looks like.
