Legislation to deliver the Tasmanian Government’s Modular Housing Finance Guarantee Scheme will be released this week.
Premier, Jeremy Rockliff said we know one of the biggest barriers to modular housing is finance and we are fixing it.
“We will partner with lenders to guarantee a portion of construction finance during the early phase of modular builds – when homes are being built in the factory, but before they are installed on site and become standard mortgage security,” Premier Rockliff said.
“Modular housing is faster and more efficient than traditional builds, and this scheme will help more Tasmanians take advantage of this type of housing.”
To qualify for the scheme, the relevant home must be manufactured offsite in a factory, to then be transported and permanently affixed to land.
“We need to increase housing supply, and this is another way of doing exactly that,” Premier Rockliff said.
“We have the skills and the fantastic Tasmanian businesses ready to take on the challenge.
“The guarantee scheme will remove an unnecessary barrier to deliver more modular homes into our communities.”
Minister for Housing and Planning, Kerry Vincent said Tasmania has seen first-hand how successful modular construction was through targeted programs.
“And the finance guarantee is a fantastic next step,” he said.
The scheme will guarantee construction loans while homes are being built off-site, where limited collateral has historically restricted lending.
The Government’s guarantee will reduce as construction progresses and cease once homes are installed and become standard mortgage security.
The legislation will be released for a short consultation period and is planned to be enacted in the last quarter of 2026.
“Our 2030 Strong Plan for Tasmania’s Future is all about delivering more homes, and modular housing is key to increasing supply,” Premier Rockliff said.
“Industry is on board, we are working with the banks, and Tasmanians are keen to live in their very own modular home.”
