Aboriginal Housing NT has welcomed the agreement between Labor, the Greens and cross-bench to pass laws that establish the Housing Australia Future Fund (HAFF).

On Wednesday Aboriginal Housing NT (AHNT) said it understood the $10 billion HAFF investment will create "a pipeline of funding" for social and affordable rental housing.

"Once invested, the HAFF would then seek to provide up to $500 million per year to support social and affordable housing need," the group said in a statement.

AHNT said it understands that within the HAFF's first five years the Australian government intends to use disbursements from the investment to support: $200 million for the repair, maintenance and improvements of housing to meet the specific needs of remote Indigenous communities (nationally).

While AHNT welcomed this investment in meeting future housing needs, the group stressed that "the immediate reality" for Aboriginal families in the Northern Territory is that 55 per cent of nearly four and a half thousand occupied remote Aboriginal homes remain overcrowded, while nearly 98 per cent of people living in severely overcrowded dwellings in the Northern Territory are Aboriginal families.

AHNT chief executive Skye Thompson said the organisation is pleased agreement has been reached between the government and the Greens and cross-benches to pass the housing bill.

"While the bill is now strengthened to deliver critically important resourcing for social and affordable housing, AHNT remains worried that Aboriginal housing requirements on NT homelands will again miss out on desperately needed funding for new housing," she said.

"While there has been significant investment across the 73 leased communities through the previous National Partnership Agreement for Remote Housing in the Northern Territory, AHNT is concerned that without a return to investment in homelands we will continue to see overcrowding and homelessness exacerbate across the... leased communities.

"AHNT urges the Australian government to use the opportunity presented through the passing of the bill to allocate a future disbursement from the HAFF to restore desperately needed funding for new housing on homelands."

Current funding arrangements in the Northern Territory see only the 73 leased communities receive housing investment through the National Partnership Agreement for Remote Housing in the NT, with funding for homelands, town camps and community living areas restricted to repairs and maintenance only. Over the past decade, housing stock and essential infrastructure across the 400 NT-funded homelands has significantly declined, AHNT noted.

Minister for Housing Julie Collins told National Indigenous Times that the Albanese Government is "committed to making sure more Australians have a safe, affordable place to call home".

"The number of Indigenous Australians who are facing housing challenges is completely unacceptable, including in the Northern Territory. That's why our Government has a broad and ambitious housing agenda which will address these challenges," she said.

"We have committed to a number of new initiatives including $111.7 million for a one-year partnership with the Northern Territory Government to accelerate building of new remote housing, targeted at addressing the worst over-crowding. This is on top of $200 million from the returns from the Housing Australia Future Fund for the repair, maintenance and improvements of housing in remote Indigenous communities."