But be quick or you might miss out!
If you are thinking about taking the first home plunge – or maybe helping someone in your family to navigate the decisions – you probably already know about the First Home Owner Grant with $10,000 available for metro areas and $20,000 for regional areas. But do you also know about the First Home Loan Deposit Scheme (FHLDS)? Let’s unpack the details and explore how this can help kick start the new home journey.
The new FHLDS began at the start of this year and has been designed specifically to help more first home buyers get into the property market sooner. First home buyer registrations went crazy for the first release!
Basically, the scheme allows eligible first home buyers to purchase a home without the need to have a 20 per cent deposit, which is needed to cover lenders mortgage insurance (Lenders Mortgage Insurance or LMI, is a fee banks and other finance lenders charge borrowers when they are deemed high risk. Usually, this is when their deposit is less than 20% of their property's purchase price).
Under this scheme a deposit as low as a five per cent can be used as the Australian Government will act as guarantee to a participating lender up to 15 percent of the value of the property that is financed by an eligible first home buyer’s home loan. The potential savings for first home buyers has been estimated as being up to $10,000, a wonderful opportunity worth exploring.
This initiative removes the most common barrier for many first home buyers, where saving a 20 per cent deposit can feel like an unachievable goal. The FHLDS is limited to 10,000 buyers with a list of participating lenders and requires a registration to start the process. With limited spaces and first home buyers flocking to the new scheme, those interested are encouraged to get in the queue now to avoid missing out!
To find out more about your eligibility and how to register for the scheme, the Harmac Homes team has partnered with AussieWide Financial Services (Australian Credit License: 505460). The team at AWFS can review your eligibility and help you to navigate the registration process, as well as helping you with a health check on your finance management.
There really is no better time than now for home buyers! Contact 1300 640 180 or firstname.lastname@example.org for more information.