The federal government will support an additional 10,000 first home buyers with the purchase of a new home, under the First Home Loan Deposit Scheme.
The incentive, unveiled in the federal budget, builds on the 20,000 first home buyers the government has already assisted to purchase a home this year with a deposit as low as five per cent under this scheme.
Under the scheme, the government guarantees 10,000 low-deposit loans a year for eligible low and middle-income earners – generally, Australian home buyers must either save a deposit of at least 20 per cent of a property’s value, or take out Lender’s Mortgage Insurance.
The federal budget will also deliver an additional $1 billion of low-cost finance to support the construction of affordable housing, which brings total concessional finance made available to community housing providers to $3 billion.
This is in addition to the $4.6 billion per annum the federal government provides in rental assistance.
The budget has also outlined plans to invest $150 million in the Indigenous Home Ownership Program, with plans to construct new homes in regional areas, which it says will create more jobs and help hundreds of indigenous families buy their own home.
