Thousands of first home buyers have now got another chance to apply for the First Home Buyers Deposit Scheme, with another 10,000 positions opening up with the new financial year.
According to the financial comparison site Finder.com.au the scheme means, that if you have saved 5 per cent of the purchase price of your property, the government will guarantee the remaining 15 per cent of the deposit.
While buyers will still need to borrow 95 per cent, you will be able to avoid LMI, which is expensive, often totalling more than $10,000.
The first round of the scheme kicked off on 1 January, 2020 with all the 10,000 places on offer reserved in a matter of months.
One of the major positives of this scheme for first home buyers is with only a 5% deposit needed, they are able to get into the property market earlier than you would without the scheme.
“It reduces the burden of spending a long time saving to get in the housing market. If you’re a first home buyer it’s a great time to be looking at getting into the market.”
There are some restrictions to be able to access the scheme, eligible first home buyers can’t be earning more than $125,000 a year as a single or $200,000 as a couple.
Now is a great time to speak to your banker and your real estate agent to discuss your options.