United Future wants to allow people to get their Working For Families entitlement in one lump sum to help build up a deposit to buy a house.
The scheme would effectively capitalise Working for Families payments, and could help bridge the gap between limited incomes and very high house prices.
United Future said it would help solve the housing problem without costing the Government a cent, since the amount paid in one lump sum would be the same as the amount drip fed over a year.
The party said the process could be repeated each year, allowing home owners to pay down their mortgage in lump sums annually.
The scheme is similar to child benefit capitalisation, which allowed thousands of people in the 1950s and 1960s to buy a house by accumulating 18 years of child benefit payments in one lump sum to use as a deposit.
That scheme was later discontinued.
