Help for buying a home

30 July 2021

We know it can be hard to save for a deposit, especially if you're currently paying rent or are relying on a single income. That's why we put up our hand to get involved with the Australian Government's latest home buying support initiatives.

 

First Home Loan Deposit Scheme
The First Home Loan Deposit Scheme (FHLDS) is an Australian Government initiative to support eligible first home buyers purchase their first home sooner. 10,000 First Home Loan Deposit Scheme places will be available for the 2021-22 financial year from 1 July 2021.

Usually, first home buyers with less than a 20% deposit need to pay lenders' mortgage insurance. Under this Scheme, eligible first home buyers may be able to buy a home with as little as 5% deposit without the need to pay Lenders' Mortgage Insurance.

Eligibility criteria applies. You can view the FHLDS Fact Sheet along with more information about the Scheme here.

 

New Home Guarantee
In the 2021-2022 Federal Budget, the Australian Government extended the New Home Guarantee with 10,000 available from 1 July until 30 June 2022. The New Home Guarantee supports eligible first home buyers to build or purchase a new home. 

Usually, first home buyers with less than a 20% deposit need to pay lenders mortgage insurance. Just like the First Home Loan Deposit Scheme that gives first home buyers the opportunity to buy an existing home with just 5% deposit without the need to pay Lenders Mortgage Insurance (LMI), the New Home Guarantee enables first home buyers to buy a new home with 5% deposit and no LMI. Eligibility criteria applies. You can view the New Home Guarantee Fact Sheet along with more information about the Scheme here.


Family Home Guarantee

The Family Home Guarantee aims to support eligible single parents with at least one dependent child in purchasing a family home, regardless of whether that single parent is a first home buyer or a previous home owner. 10,000 Family Home Guarantees will be made available over four financial years from 1 July 2021 to 30 June 2025.

Usually buyers with less than 20% deposit need to pay lenders mortgage insurance. Under this Scheme, up to 18% of the loan is guaranteed by NHFIC, enabling you to purchase a home sooner with as little as 2% deposit and no lenders mortgage insurance. It is not a cash payment.

Eligibility criteria applies. You can view the New Home Guarantee Fact Sheet along with more information about the Scheme here

If your home loan is covered by this Scheme, you may also be able to access other government programs – like the Australian Government’s First Home Super Saver Scheme, Home Builder Grant or First Home Owner Grant and concessions that may be offered by State and Territory governments. These other programs apply their own criteria and conditions, and you should make your own enquiries on their terms.

Other things you should know

On 19 June 2021, the Australian Government announced new property price caps. You can see an overview of the property price caps by clicking here.

If your home loan is covered by these Schemes, you may also be able to access other government programs – like the Australian Government’s First Home Super Saver Scheme, Home Builder Grant or First Home Owner Grant and concessions that may be offered by State and Territory governments. These other programs apply their own criteria and conditions, and you should make your own enquiries on their terms.
 

Other ways we can help
If you're not eligible for one of the above Schemes, there are a number of other ways Easy Street may be able to assist. Many of our home loans enable you to borrow with as little as 5% deposit with Lenders Mortgage Insurance applicable. 
 

How to apply

You must apply for the Australian Government Schemes through a participating lender. There is a limit to the number of guaranteed loans that can be offered per financial year and Easy Street is on the panel of approved lenders. Non-major lenders (that's us) can submit applications for the Scheme until places are exhausted.

You should refer to the official website for more information on eligibility criteria.

Take the next step today

We know that navigating your way through all the options available can be daunting. That's why our Mortgage Specialists can help guide you through the process as well as help you understand what costs you'll need, how much you could afford to borrow and how to apply for the various initiatives on offer.

Request a call back

Credit eligibility criteria, terms and conditions, fees and charges apply.

The information contained in this article is only correct at the point of time of publication. It is general information and has been prepared without taking into account your personal circumstances, objectives or needs. Please consider if this information is right for you before making a decision to acquire any product.