More Home Guarantee Scheme Help For Potential Homeowners
May 16, 2022
The Home Guarantee Scheme is a government scheme that ensures part of an eligible buyers home loan is guaranteed. It helps eligible buyers to purchase their home sooner with smaller deposits and without needing to pay lenders mortgage insurance.
The proposed 2022-23 Budget is set to expand the scheme to include more guarantees to help first home buyers, regional buyers and single parent families.
How many guarantees are available?
The scheme is planned to be expanded to make 50,000 guarantees available to eligible buyers each year.
Guarantees for first home buyers, regional homebuyers and single parents
- From 1 July 2022, 35,000 guarantees would be given under the First Home Guarantee each year. This will support eligible first homebuyers to purchase a new or existing home with a deposit as low as five per cent;
- From 1 October 2022 until June 2025, 10,000 would be given each year to support regional buyers including non-first home buyers and permanent residents. *subject to passing of enabling legislation
- From July 2022 to June 2025, 5,000 guarantees would be given to single parents each year to buy their first home or re-enter the housing market with a deposit of as little as 2%.