Thousands of Australians have been given their first real chance to buy their own home.
The Australian Government recently introduced additional opportunities for Australians to sign up for three federal deposit guarantee schemes. It allows first-home buyers and single parents to put down a lower initial deposit to buy a home.
Over the weekend, the Federal Government announced 30,000 additional places for eligible applicants under the First Home Loan Deposit Scheme, the New Home Guarantee program, and the Family Home Guarantee from 1 July.
Housing Minister Michael Sukkar believes the programs will allow more Australians to overcome financial limitations that prevent them from buying a home.
“The Morrison government is helping more first home buyers and single parent families overcome the challenges of saving for a deposit and realising the Australian dream of owning your own home,” Mr Sukkar said.
“With the 30,000 new places available from 1 July, now is the time for potential applicants to contact a participating bank or mortgage provider and get their applications underway.”
The Real Estate Institute of Australia (REIA) had urged first-home buyers and single parents to consider applying.
“Saving a deposit is the hardest part of getting into homeownership, so the government support will help ease that issue,” REIA president Adrian Kelly said.
“We urge eligible applicants to contact a participating bank or mortgage provider and get their applications underway.”
The Family Home Guarantee is aimed at single parents with dependants. It doesn’t matter if the parent has previously been an owner-occupier or is a first home buyer.
First Home Loan Deposit Scheme is aimed at Australians who have previously never owned a home, providing the opportunity to allow prospective buyers to put down just a 5 per cent deposit and avoid Lenders Mortgage Insurance (LMI).
The New Home Guarantee assists first home buyers who are looking to build or purchase a newly-built property.
Applicants must be Australian citizens who have an annual taxable income of no more than $125,000.