Prime Minister Anthony Albanese has put pressure on parliament to pass two signature housing reforms, a separate environment law overhaul and its Future Made in Australia bill - all of which have been met with fierce resistance from the coalition and Greens.
Mr Albanese insists the laws do not need amendments because other political parties agree with the objectives of the legislation and support their frameworks.
So if the Greens and coalition do not break the stalemates, he may turn to the nuclear option: a double dissolution.
"We'll wait and see," he told reporters in Sydney.
"The way to avoid a (double dissolution) is for the coalition and the Greens to vote for legislation that they support.
"We're always open to sensible discussions ... but what we won't do is undermine our own legislation with amendments when it stands on its merits."
We've now helped 120,000 people into their first home through the First Home Guarantee Scheme. — Anthony Albanese (@AlboMP) And we're building new homes to make housing more affordable for Australians. pic.twitter.com/4tfU5JHBg6September 17, 2024
A double dissolution occurs when there is a deadlock between the Senate and House of Representatives on a proposed law and allows for an election.
Talks of a double dissolution arose after the government's $10 billion housing fund was blocked by the Greens - but the bill later passed.
Labor's schemes before the Senate - Help to Buy and Build to Rent - have faced criticism that they wouldn't make housing affordable.
The Greens are calling on the government to amend its housing bills by including a cap on rent increase, further investment in public housing and a phase-out of tax handouts for property developers.
They also want to adjust the Nature Positive legislation to at least consider the impact mining and gas projects can have on climate change.
But the minor party says the government has refused to provide any wiggle room in negotiations and MP Max Chandler-Mather said the Commonwealth would rather let a key housing bill fail than fight with the minor party.
"We recognise we're not going to get everything in our negotiation with the government," he told ABC on Tuesday.
"But right now they've offered nothing - literally no counter offer.
"That's very frustrating when we're in such a serious housing crisis."
Max Chandler-Mather says the government's plan would make housing more affordable for a select few. (Lukas Coch/AAP PHOTOS)
Mr Albanese said boosting supply levels was the best way to solve affordability issues.
"When I was young, more than two-thirds of Australians in their early 30s could buy their own home, now it's less than half," he said.
"The outlook is even worse for young Australians on low and middle incomes.
"That trend is only going in one direction unless we work together to do something about it."
The Help to Buy scheme would reduce the requirements for deposits for first-home buyers through a government loan guarantee.
It's estimated 40,000 Australians would be able to buy their first property through the government program.
But Mr Chandler-Mather, alongside some economists, say the scheme would make housing more affordable for a select few, while pushing up prices for everyone else.
"It's desperately cruel for the government to hold this out as some sort of solution to the housing crisis," he said.
Coalition home ownership spokesman Andrew Bragg says the Commonwealth's shared equity scheme gives up on the Australian dream.
"Australians need to own houses, not the government," he told ABC radio.
A similar program, the Home Guarantee Scheme, had been used by 120,000 people.
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