What is it?
The scheme will assist a maximum of 10,000 eligible home loan borrowers each financial year, allowing first home buyers to purchase their first home with just a 5% deposit, the government will cover any remainder, including mortgage insurance fees.
How do I apply?
It must be noted that this scheme is only available to those who meet the following criteria.
- The scheme is means tested, and you are only eligible if you earn $125,000 per annum or less as a single, or a combined $200,000 or less per annum as a couple.
- The house being purchased must be worth:
- $700,000 in Sydney
- $600,000 in Melbourne
- $475,000 in Queensland
- $400,000 in Western Australia
- $400,000 in Adelaide
- $500,000 in Australian Capital Territory
- $375,000 in Northern Territory
- $400,000 in Hobart
You can check further eligibility criteria HERE.
What banks are participating?
Major mortgage lenders are said to be taking part in the scheme from January 1, while some other financial institutions will join in from February 1. National Australia Bank and Commonwealth Bank are current participants in the scheme.