Insights
Federal Budget 2021 - 22: Home Ownership
First Home Loan Deposit Scheme (New Homes)
Date of effect: 1 July 2021
The government will make an additional 10,000 places available under the scheme to help eligible first home buyers who have at least a 5% deposit, enabling them to build or buy a new home sooner.
Under the scheme, the government guarantees 15% of the home loan, which also helps buyers avoid the often-significant expense of lender’s mortgage insurance.
Click here to find out what the experts say about home ownership changes.
Family Home Guarantee
Date of effect: 1 July 2021
This initiative gives single parents with dependants the opportunity to build a new home or purchase an existing one with a deposit of 2%, subject to the person’s ability to service the loan.
Starting on 1 July 2021, 10,000 guarantees will be made available over four financial years.
Click here to find out what the experts say about home ownership changes.
First Home Super Saver Scheme
Date of effect: 1 July of year after Royal Assent is granted
Introduced in the 2017–18 Budget, this scheme allows people to save money for their first home inside their superannuation fund.
They can make voluntary concessional (before-tax) and non-concessional (after-tax) contributions to their super and apply to have a maximum of $15,000 of contributions from any one financial year earmarked for release under the scheme.
Previously, the maximum amount of contributions that could be released across all years was $30,000.
That amount will be increased to $50,000.
Click here to find out what the experts say about home ownership changes.
Expert insights
Get a Budget breakdown from our experts — an accountant, financial planner, and economist — and find out what the changes and opportunities are for you.
IMPORTANT INFORMATION: This blog has been prepared by Modoras Pty. Ltd. ABN 86 068 034 908 an Australian Financial Services and Credit Licences (Number 233209). The information and opinions contained in this presentation is general information only and is not intended to represent specific personal advice (Accounting, taxation, financial, insurance or credit). No individuals’ personal circumstances have been taken into consideration for the preparation of this material. Any individual making any investment or borrowing decisions should make their own assessment taking into account their own particular circumstances. The information and opinions herein do not constitute any recommendation to borrow funds or purchase, sell or hold any particular investment. Modoras Pty Ltd recommends that no financial product or financial service be acquired or disposed of, credit contract entered into or financial strategy adopted without you first obtaining professional personal financial advice suitable and appropriate to your own personal needs, objectives, goals and circumstances. Information, forecasts and opinions contained in this blog may change without notice. Modoras Pty. Ltd. does not guarantee the accuracy of the information at any particular time. Although care has been exercised in compiling the information contained within, Modoras Pty. Ltd. does not warrant that the articles within are free from errors, inaccuracies or omissions. To the extent permissible by law, neither Modoras Pty. Ltd. nor its employees, representatives or agents (including associated and affiliated companies) accept liability for loss or damages incurred as a result of a person acting in reliance of this publication.
