About 4,600 new positions have opened up for the government deposit scheme
The Real Estate Institute of Australia is urging first-home buyers to secure a slot in the First Home Loan Deposit Scheme (FHLDS) before Christmas. To date, the scheme has helped about 60,000 Australians secure a home loan.
“With around 4,600 places coming online in time for Christmas, I urge aspiring first-time homeowners to take action by calling their local agent or mortgage broker and securing their place in the scheme,” said REIA President Adrian Kelly. “The First Home Loan Deposit Scheme is particularly important in a rising market, especially for those who do not have access to the ‘Bank of Mum and Dad.’ This reissued 4,600 places can be used for either new or existing dwellings, which suits the type of housing stock first-home buyers generally prefer, with caps that better suit current market conditions.”
REIA was one of the first industry bodies to support the FHLDS, and recently called for the expansion of the scheme. Kelly said that moving into an election year in 2022, it was critical for government programs supporting homeownership to continue.
“Homeownership is a significant factor in Australians enjoying a happy and secure retirement, as well as contributing to the overall housing affordability picture,” Kelly said. “Loan repayments for first-home buyers usually sit under median rents within two to six years of purchasing a home, depending on the location.”
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The number of first-home buyers decreased to 37,782 in the September quarter, a 12.6% fall from the previous quarter, according to recent REIA data.
“The number of first-home buyers decreased over the September quarter in all states and territories,” Kelly said. “South Australia had the largest decrease of 21.6%, and the Australian Capital Territory had the smallest decrease of 0.7%. This competition means the average loan size to first-home buyers has increased to $459,256. This was an increase of 2% over the quarter and 14% over the past 12 months. This simply means that government programs like the First Home Loan Deposit Scheme and the First Home Super Saver Program need to be supported and expanded.”
