PHOTO: More first-home buyers will be able to get into the market sooner, with the release of more government guarantees. Photo: Stephen McKenzie

Tens of thousands of first-home buyers and single parents will be able to get onto the property ladder with a smaller deposit or at a higher price point from Thursday, when 30,000 new spots are released across three government loan schemes.

First-home buyers and single parents will be able to purchase properties worth up to $800,000 with deposits as low as 5 per cent and 2 per cent respectively, under newly increased price caps for new spots with the First Home Loan Deposit Scheme and the new Family Home Guarantee.

It is among a string of changes on buyers’ radar for this financial year, including the pullback of incentives for first-home buyers in some states and territories, with the price cap increases set to help buyers trying to get into a soaring housing market.

Nationally, from July 1, first-home buyers can access 10,000 more spots in the federal government’s loan deposit scheme for existing homes at a higher price, and an additional 10,000 spots for new homes – which will remain capped at a maximum property price of $950,000 under the New Home Guarantee.

The first of 10,000 guarantees for single parents, to be rolled out over four financial years, will also become available from July 1.

 

First Home Loan Deposit Scheme (FHLDS) & Family Home Guarantee price caps
Region Price cap from July 1 Previous price cap for FHLDS
NSW – Sydney, Newcastle, Lake Macquarie & Illawarra $800,000 $700,000
NSW – other $600,000 $450,000
VIC – Melbourne, Geelong $700,000 $600,000
VIC – other $500,000 $375,000
QLD –Brisbane, Gold Coast & Sunshine Coast $600,000 $475,000
QLD – other $450,000 $400,000
WA – Perth $500,000 $400,000
WA – other $400,000 $300,000
SA – Adelaide $500,000 $400,000
SA – other $350,000 $250,000
TAS – Hobart $500,000 $400,000
TAS – other $400,000 $300,000
ACT $500,000 $500,000
Northern Territory $500,000 $375,000

Source: NHFIC.

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