A new report from Housing Australia (previously NHFIC), demonstrates how the Government is helping first-home buyers.
The report revealed that about one in three of all first-home buyers in the 2022-23 financial year used the federal government’s Housing Guarantee Scheme (HGS).
Here’s what the typical participants looked like:
- First Home Guarantee: the median participant was in the 30-34 age bracket, had a household income of $76,000, and bought a property worth $459,000.
- Regional First Home Buyer Guarantee: participants were aged 25-29, earned $71,000, and bought a $389,000 home.
- Family Home Guarantee (for single parents): participants were aged 35-39, earned $70,000, and bought a $422,000 home.
During 2023-2023, there were 50,000 places available to eligible home buyers across the three assistance programs. The scheme enables eligible home buyers to obtain finance with as little as a 5% downpayment. Additionally, first-time home buyers don’t have to pay any additional fees for the lender’s mortgage insurance under the scheme.
Moreover, according to the report, the scheme expanded to include:
- Australian permanent residents
- Australian Citizens
- Non first-time home buyers who have not owned a property in the last 10 years
- Any two applicants broadly, such as friends, siblings, and other family members
- Married or de facto couples
- Eligible single legal guardians with at least one dependent child
- Eligible single parents
Meanwhile, Housing Australia is the name of the new agency that has just replaced the National Housing Finance and Investment Corporation and assumed its responsibilities.
Housing Australia has not only taken control of the HGS, but also the National Housing Infrastructure Facility, which provides loans and grants for critical infrastructure to unlock and accelerate new housing supply.
If you are seeking to purchase your first home, contact us and we’ll be happy to discuss your goals and objectives as well as assess your borrowing power.