The Morrison Government’s First Home Loan Deposit Scheme has had an incredibly successful first year.
From today, an additional 10,000 loan guarantees are now available for first home buyers over the next 12 months through participating lenders.
The First Home Loan Deposit Scheme is a key election commitment of the Morrison Government, which is cutting years off the time it takes for Australians to save for a deposit.
The Scheme has so far provided 10,000 guarantees to eligible first home buyers to allow them to purchase a modest home with a deposit of as little as five per cent.
The Scheme can also be used in conjunction with the Morrison Government’s First Home Super Saver Scheme and HomeBuilder, and first home buyers may also be eligible for state and territory grants and concessions.
National Housing Finance and Investment Corporation (NHFIC) data shows applications for guaranteed loans are being received from all parts of our community, be it in our capital cities, regional centres or rural areas.
In the Scheme’s first year of operation, data also shows that guaranteed loans went to applicants whose income were well below the Scheme’s caps. The average income of single applicants is $66,488 ($125,000 cap) and for couples $109,410 ($200,000 cap).
The Scheme has proven most popular with first home buyers under the age of 30 years of age who secured 59 per cent of guarantees, and 12 per cent of guarantees have been secured by Australians over the age of 40.
The largest amount of applications for guaranteed loans, 45 per cent, were made through mortgage brokers.
The First Home Loan Deposit Scheme is a key part of the Morrison Government’s commitment to do all we can to help Australians to get into a home of their own sooner.