These plans would be similar to what the UK and the US introduced recently, passing emergency legislation to ensure renters and mortgage holders are not forced out of their home if they fail to pay rent or their mortgage. 

The UK government announced this week a three-month 'mortgage payment' holiday, while US mortgage backers have halted foreclosures for 60 days.

Last night, President Trump announced a moratorium on all foreclosures and evictions for single family homeowners with Federal Housing Administration-insured mortgages for that period.

For renters in the UK, landlords will not be able to start eviction proceedings for at least three months.

These are much needed measures in Australia and these measures would prevent a total housing collapse, according to Mr Clare.

"More Australians are behind in their mortgage repayments today than at any time since the Global Financial Crisis, and rental stress is through the roof," he said.

"In addition to that, they should also take steps to make sure no one has their power, water gas or phone cut off because they, or their family, are affected by the virus and can't pay the bill.

"A practical plan needs to be developed as quickly as possible tailored to the situation in Australia."

This suggestion comes at the same time the Reserve Bank cut the cash rate twice in one month for the first time.

The cash rate sits at 0.25%, theoretically making mortgages cheaper as lenders slash their interest rates.

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Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of . View disclaimer.

The changes recommended by Labor are similar to those proposed by the Greens, with Greens spokesperson for Housing, Senator Mehreen Faruqi, calling for emergency measures to support renters during the pandemic. 

Ms Farqui's suggested measures include:

  • An eviction moratorium: State and Territory laws govern evictions with most allowing for eviction if the tenants are 14 days or more behind with their rent. This should be scrapped immediately
  • Fund crisis housing: The Federal Government must increase homelessness funding under the National Housing and Homelessness Agreement to $500 million per year and release these funds immediately to States and Territories
  • Freeze rents: A nationwide rent freeze with no increase in rent from the start of 2020 and for the duration of the health crisis.Commonwealth Rent Assistance (CRA) should also be increased.

“In the developing crisis, the government has a responsibility to ensure that no one ends up at risk of homelessness or further rental stress. We must take immediate steps to ensure that no one can be evicted," she said. 

During a health crisis, people without a roof over their heads risk exposing themselves or others to the disease. 

Real Estate Institute of Queensland (REIQ) Chief Operations Officer Josh Callaghan told yesterday that governments, banks, tenants and property owners all need to work together to find solutions that prevent people from entering into homelessness.

"The REIQ's goal is to ensure all Queenslanders, and Australians, have safe, secure housing and during this unprecedented event all parties need to work together to ensure our housing market is sustainable."

Prime Minister Scott Morrison is set to announce a second round of stimulus: Changes like the ones recommended could be included. 

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