There are many government incentives prospective homeowners can apply for to get a head start on the property ladder. Many of them are aimed at first-time home buyers and include block grants, guarantees and savings mechanisms.
There are different eligibility requirements for each scheme depending on your income, savings limits, property price and type of property (e.g. a newly built house versus an existing apartment), and those these may vary from state to state. So be sure to check the government source for the state or territory where you live when considering the options below.
Grant for first owner
The title of the First Home Owner Grant varies by state and territory, as do the inclusions in this government offer. These grants can offer a lump sum payment to first-time buyers that goes towards the purchase of a home, or provide full or partial exemption from paying stamp duty (aka transfer duty) – or both incentives combined if you meet Criteria.
For example, in New South Wales, eligible first-time home buyers can receive a $10,000 markup on their deposit (if they are buying a newly built home they plan to live in) and get a full waiver. or partial transfer duties. In South Australia, this payment can be as high as $15,000 for new home purchases, but stamp duty is not factored into the equation.
Find the First Home Owner grant for your relevant state or territory to check other eligibility criteria and what is offered where you live.
First Home Super Saver Scheme
You will receive tax benefits on saving for the purchase of a property by making voluntary contributions to your superannuation through the First Home Super Saver Scheme. When you create a deposit in your super fund through the program and eventually withdraw those funds to purchase property, you will receive tax compensation that will put you in a better position than simply hoarding money in a super fund account. ‘saving. Use the Commonwealth Superannuation Corporation’s calculator to determine how saving might benefit you.
You can make up to $15,000 in voluntary super contributions towards this goal each fiscal year (in addition to the mandatory 10% contributed by your employer), up to a maximum of $50,000. This is for an individual, meaning couples or even friends can each save this amount through the program and use the combined funds to buy a property together.
First Home Guarantee
Formerly known as the First Home Loan Deposit Scheme, this government guarantee allows eligible first-time home buyers to take out a home loan with as low as 5% down payment without having to pay LMI. These additional fees are usually charged by banks when a borrower cannot make a 20% deposit on a loan.
With the Première Habitation Guarantee, the government effectively acts as a guarantor for up to 15% of the value of the property. There are now 35,000 places available in this device each exercise.
Family Home Guarantee
Like the First Home Guarantee, this incentive also offers a government guarantee if you cannot cover a 20% down payment. However, the Family Home Guarantee covers up to 18% of the property value (so you can pay as little as a 2% deposit) and is open exclusively to eligible single parents with at least one dependent child, have ever owned property. or not. There are 5000 places available in this program until June 30, 2023.