Consultation opens on Modular Housing Finance Guarantee

The Tasmanian Government has released its nation-leading Modular Housing Finance Guarantee legislation for public consultation.

The scheme will guarantee construction loans while homes are being built off-site, where limited collateral has historically restricted lending.

Premier Jeremy Rockliff said we are removing one of the biggest barriers to faster, more affordable housing with a nation-leading Finance Guarantee.

“The draft Modular Housing Finance Guarantee Bill 2026 sets out the framework to partner with banks to unlock finance for modular homes during the construction phase, where traditional lending models fall short,” Premier Rockliff said.

“Modular homes can be built in months, not years, and this reform ensures financing keeps pace with that innovation.”

Treasurer Eric Abetz said the Government’s guarantee will reduce as construction progresses and cease once homes are installed and become standard mortgage security.

“By addressing the financing gap, the initiative will accelerate housing supply, lower upfront costs, and improve access for first-home buyers,” the Treasurer said.

"As part of our 2030 Strong Plan for Tasmania's Future, we are making targeted investments to deliver more homes across the State.

“We will continue to work with industry and lenders as we progress the legislation.”

Consultation will close on September 4. 

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