The 2026-27 South Australian State Budget has arrived, delivering a suite of housing and cost-of-living measures fulfilling key election commitments and helping to deliver the SA Government’s target of building 13,500 new homes each year.
For FHA members working on the frontlines of community housing and homelessness, this budget brings several welcome, targeted investments that will directly impact the vulnerable tenants and clients we serve.
1. Direct Investment in Homelessness and Complex Needs
The government has clearly acknowledged the acute pressures facing our homelessness services, providing crucial funding to support those sleeping rough and individuals requiring intensive wrap-around care.
- Targeted Homelessness Funding: A critical win for the sector is an additional $6.0 million over four years allocated to support Catherine House, St Vincent de Paul, and the Hutt Street Centre in providing homelessness support services in the Adelaide CBD. This outreach is essential for creating pathways into long-term stability and easing the pressure on emergency accommodations.
- Supported Accommodation for Complex Needs: The budget commits $110.0 million over four years to build 200 new supported accommodation places. These places are specifically designed for individuals with complex needs who require wrap-around services and struggle to integrate into standard suburban housing.
- Restoring Vacant Public Housing: To address waitlists, $30.0 million over five years will fund the upgrade of 300 vacant South Australian Housing Trust (SAHT) homes, returning offline stock back to the community.
- Remote Aboriginal Housing: The budget secures $12.2 million in 2026-27 to continue property and tenancy management services in remote Aboriginal communities, stepping in following the cessation of Commonwealth funding.
2. Renter Relief and Cost-of-Living Support
For many of your tenants and clients, financial hurdles can be the tipping point into homelessness. The budget introduces practical measures to ease the rental burden and lower daily living costs.
- Portable Rental Bonds Scheme: A major systemic improvement is the $7.0 million investment over four years to establish a Portable Rental Bonds Scheme. This allows renters to transfer their existing bond to a new property, with the government guaranteeing the original bond. This removes the severe financial barrier of finding a “double bond” when moving, which we know frequently forces lower-income earners into financial distress.
- Energy Upgrades for Community Housing: The Social Housing Energy Performance initiative is being expanded with $36.1 million over three years (fully funded by the Commonwealth) to provide insulation and energy-efficient appliances to 3,500 homes across both public and community housing. This will provide direct, long-term relief on utility bills for our community housing tenants.
3. Affordable Pathways and Major Supply Interventions
The budget also outlines significant structural investments to ease the housing supply crisis and create transitional pathways out of renting.
- Rent to Own Program: The government is investing $1.3 billion to build 2,000 affordable homes over eight years. In a highly innovative model, tenants will lease these homes at 75% of market rent for up to two years, enabling them to save for a deposit, before being given the option to purchase the property.
- Fast-Tracking Supply: To unlock wider market supply, the budget establishes a $500 million Apartment Fast-Track Fund where the government will act as a guarantor for up to 50% of eligible off-the-plan dwellings (a similar model to NSW and WA Pre-Sale Finance Guarantees).
- First Home Buyer Boosts: $50 million is dedicated to enabling infrastructure at Playford Alive to accelerate 400 new homes exclusively for first home buyers by 2027. Furthermore, HomeStart Finance eligibility is being expanded, including raising income thresholds to $110,000 and broadening shared equity to multi-storey apartments.