The federal government faces calls to rejig its $10 billion housing fund in a bid to get it through parliament.
The coalition joint partyroom is expected on Tuesday to firm up opposition to the legislation to set up the Housing Australian Future Fund, a key Labor election promise.
Deputy Liberal leader Sussan Ley talked down the Labor plan ahead of the meeting.
"It's another of these off-budget vehicles and I don't see the government demonstrating how it will immediately solve the housing crisis," she told reporters in Canberra.
"I just see another bucket of money off to one side with spending priorities all wrong."
She said Australia's housing problems would not be solved by spending which pushes up inflation and interest rates.
With the coalition opposing the bill, Labor will need the support of the Greens and two other cross benchers in the Senate to pass it.
The Greens, who met on Monday, are expected to put a number of changes to the government to secure their support.
They argue the 30,000 homes to be built over five years are not enough and the $500 million spending cap on funds to be spent each year will not be sufficient to address the crisis.
"At this stage, the Greens have resolved to reserve their position on the legislation subject to good faith negotiations with the government," Greens housing spokesman Max Chandler-Mather said.
The Greens want a minimum of $5 billion invested in social and affordable housing every year indexed to inflation.
The party will also argue for a national plan for renters including a freeze on rent increases and doubling of Commonwealth Rent Assistance in the May budget.
Also on the table is $1 billion investment in remote Indigenous housing over five years.
