Entertainment

Extension of the 5% deposit program for the first mortgage

First-time home buyers will be saved thousands of dollars in mortgage insurance under a government program.

10,000 more buyers will be able to build or buy a new home with just a 5% down payment from Tuesday.

Buyers typically need a 20% down payment or have to pay mortgage insurance to lenders.

But under the first home loan deposit scheme, additional loan guarantees of up to 15 percent will be available until June 30 to eligible buyers.

Treasurer Josh Frydenberg said the government recognizes that saving for a deposit has become a bigger barrier to entering the housing market than the ability to repay a home loan.

“The Morrison government is helping more Australians buy their first homes sooner as part of our COVID-19 economic recovery plan,” he said.

“Helping an additional 10,000 first-time buyers buy a new home through our first home loan deposit program will help us support all of our trades throughout the supply chain, including painters, builders, plumbers and electricians. “

media_cameraTreasurer Josh Frydenberg said support for first-time homebuyers will support trade. Photo: NCA NewsWire / Gary Ramage

The ceiling price for qualifying homes has also been increased in states and territories.

NSW

– From $ 700,000 to $ 950,000 in the capital or the regional center

– From $ 450,000 to $ 600,000 in the rest of the state

VIC

– From $ 600,000 to $ 850,000 in the capital or regional center

– From $ 375,000 to $ 550,000 in the rest of the state

QLD

– From $ 475,000 to $ 650,000 in the capital or the regional center

– From $ 400,000 to $ 500,000 in the rest of the state

Washington

– From $ 400,000 to $ 550,000 in the capital or regional center

– From $ 300,000 to $ 400,000 in the rest of the state

HER

– From $ 400,000 to $ 550,000 in the capital or regional center

– From $ 250,000 to $ 400,000 in the rest of the state

TAS

– From $ 400,000 to $ 550,000 in the capital or regional center

– From $ 300,000 to $ 400,000 in the rest of the state

ACT

– From $ 500,000 to $ 600,000 in the territory

NT

– From $ 375,000 to $ 550,000 in the territory

Eligible first buyers may also benefit from other grants and concessions.

Originally published under the title Carrot for first time buyers

Source link

Back to top button