27/09/2022
Launch of deposit guarantee scheme for regional first-home buyers brought forward
The Federal Government has brought forward the start date of a major new support measure for first-home buyers living in regional areas.
The Regional First Home Buyer Guarantee was due to kick off on 1 January, but will now launch from 1 October.
Eligible first-home buyers in regional Australia will be able to purchase their own home with just a 5% deposit, with government assistance making up the rest [of the 20% deposit).
Skyrocketing demand and dwindling supply have seen property prices boom in regional parts of the country, in some cases at a higher rate than in capital cities.
The rental crunch, which has pushed desperate tenants to the brink, is especially pronounced in the regions.
Australians living in regional areas have faced some of the largest drops in housing affordability, making it increasingly hard for locals to save a sufficient deposit.
From 1 October, the Regional First Home Buyer Guarantee will be open to Australian citizens who purchase their first home outside a capital city, and who can demonstrate they’ve lived in that region for at least 12 months.
Singles earning up to $125,000 and couples earning up to $200,000 for couples are eligible to apply. A range of properties can be bought, including existing dwellings, off-the-plan units or townhouses, a house-and-land package, and land with a separate contract to build a house