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.
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.
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.
Get a Budget breakdown from our experts — an accountant, financial planner, and economist — and find out what the changes and opportunities are for you.
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