Labor has revealed its Help to Buy program, a shared equity scheme under which the government would contribute up to 40 percent of the purchase price of a new home and up to 30 per cent of the purchase price for an existing home.

Gavin Hegney, Property Analyst, told Liam Barlett he wasn’t sold on it.

“Another policy which is probably addressing the symptoms of the problem rather than the problem itself,” he said.

“The reason affordability is an issue is because of the time it takes for a supplier to come through and get to the ground.

“Key point, every policy has winners and losers, every policy solves some problems and creates others.”

Hegney said the new policy will put buyers into a price category that they might not be able to afford.

“They are competing against the home buyers who can afford that price category, pushing prices up in that category,” he said.

“Overall it is tinkering around the edges, it is probably a political policy trying to buy votes and I think both sides are into this up to their ears … but I am always wary when policies tinker round with open markets there are always winners and losers and consequences on both sides.”

Press PLAY to listen to the whole interview with Gavin Hegney 

Brendan Coates, Economic Policy Director from the Grattan Institute told Liam Bartlett he supported the scheme which will help older Australians get into the market.

“It is probably something we do need,” he said.

“It is a small piece of the puzzle.

“The value here is more focused on helping people who have had a divorce, who have some savings … to have the government help them get back into the market, what they are struggling to do is not the deposit but it is actually being able to pay off the deposit by the time they retire.”

Press PLAY for the whole interview with Brendan Coates