The federal government has announced it will lift the income cap on its Help to Buy scheme allowing more people to take advantage of the shared equity offer.

The Help to Buy scheme involves the government taking a 30 per cent share of existing homes or a 40 per cent share of a new home.

For singles the income cap will lift from $90,000 to $100,000, and for couples or single parents, it rises from $120,000 to $160,000.

Buyers need to provide as little as a 2 per cent deposit.

In Melbourne the property price cap will increase from $850,000 to $950,000.

The government is offering 10,000 places in the scheme a year over four years, mainly to first home buyers.

Mr Nicolls said the announcement on the cusp of the federal election being called is a sign the government is "pulling out all stops to convince voters to vote for them".

"The introduction of their latest policy is exactly aimed at winning votes," he said.

"If they cared about the new homeowners their policy would have been introduced from day one.

"It is great news that new homeowners can purchase up to $950,000 on a low deposit of $19,000 but will they be able to service a loan of 930,000 plus at current mortgage interest rates? No way!

"It is good news for the property market."