spmortgages No Comments

First Home Loan Deposit Scheme Explained: 

  • A Federal Government scheme to allow first home buyers to purchase a property with a deposit as little as 5 per cent will operate on a “first-in, best-dressed” basis
  • Save 5% deposit of your property and government will guarantee the remaining 15% of the deposit. You still borrow 95%, but avoid LMI. 
  • 10,000 first home buyers on low and middle incomes enter the market each year from January 2020
  • The program will be open to singles with a taxable income up to $125,000 per year and couples earning less than $200,000 per year, and will apply to owner-occupied loans on a principal and interest basis.
  • Mortgage need to be owner occupied with principal and interest (P&I) repayments. 
  • More information to come on which lender will be involved and what the interest rates will be. 
  • Price thresholds apply. 

Scheme’s property price caps:

State/territory Capital city and regional centres Rest of state
NSW $700,000 $450,000
VIC $600,000 $375,000
QLD $475,000 $400,000
WA $400,000 $300,000
SA $400,000 $250,000
TAS $400,000 $300,000
ACT $500,000
NT $375,000

For further information, please contact us! 

1300 429 921

www.spmortgages.com.au

ACL 389328/487319 

Leave a Reply

Your email address will not be published. Required fields are marked *