Changes to the Home Guarantee Scheme
There is good news for prospective homebuyers with the Federal Government broadening the eligibility criteria for programs under the Home Guarantee Scheme, enabling more buyers to qualify.
Federal Treasurer Jim Chalmers delivered the 2023-24 Federal Budget last month and announced the following:
- Starting July 2023, joint applications for friends, siblings, and other family members will be allowed under the First Home Guarantee and the Regional First Home Buyer Guarantee.
- Meanwhile, non-first-home buyers who have not owned a property in Australia in the last 10 years will be eligible to apply for First Home Guarantee and the Regional First Home Buyer Guarantee. This will provide support to those who are planning to re-enter the property market.
- The Family Home Guarantee will also be extended to include single legal guardians of children such as aunts, uncles, and grandparents.
For both the First Home Guarantee and Regional First Home Guarantee schemes, the federal government acts as a guarantor on up to 15% of a loan. This enables eligible home buyers to purchase a home with as little as 5% deposit without paying lenders mortgage insurance.
Get in touch with our team at Provide Finance to see if you’re eligible.