Buying a home for the first time may bring excitement, nervousness - maybe even stress. Taking the first step is always the hardest, especially if you have no experience or prior knowledge. You could end up making some mistakes along the way, which could cost you.
However, when done right, it can easily lead to financial freedom and stability.
If you're planning on buying your first home, there are various government support programs and tax concessional treatments available that can help reduce your home buying costs. You may be eligible to receive exemptions, concessions and grants to make it easier to buy your first home.
| Schemes available | First Home Owners Grant (FHOG) | First Home Guarantee | Regional First Home Buyer Support Scheme | Family Home Guarantee | First Home Super Saver Scheme | Shared Equity Home Buyer Scheme |
|---|---|---|---|---|---|---|
| Support Type | One-off Federal Government grant | Guarantor scheme | Guarantor scheme | Guarantor scheme | Concessional tax treatment via super | Shared equity scheme |
| In a nutshell |
Grants are managed by states and amount varies by state: NSW, VIC, WA & NT: $10k QLD: $15k SA & TAS: $20k |
The government guarantees loans so borrowers avoid LMI. | The government guarantees loans so borrowers avoid LMI. | The government guarantees loans so borrowers avoid LMI. |
First-home buyers can save a deposit for their first home inside their super account Borrowers can release up to $15k per year, up to a total of $50k from super to make a deposit. |
The government contributes 30% for existing properties (40% for new builds) |
| Who can apply? | Only for first home buyers | Only for first home buyers | Only first home buyers who already live in regional areas | Single parents with at least one child dependant | Anyone with super | Low- to middle-income earners who currently don't own property |
| Availability | N/A | 35,000 per year | 10,000 per year | 5,000 per year | N/A | 10,000 per year |
| Minimum deposit required | N/A | 5% | 5% | 2% | N/A | 2% |
| Income Cap | N/A | Singles: $125k Couples: $200k |
Singles: $125k Couples: $200k |
Singles: $125k | N/A | Singles: $90k Couples: $120k |
It is important to note that eligibility criteria in different states or territories may vary for the various support schemes. But on the plus side, you can apply and qualify for multiple first home buyer schemes at the same time, as long as you meet each of their individual criteria.
Chat with our Pomelo team who can help you with getting the right support to buying your first home.
In order to reduce the financial strain on homeowners, the government encourages property ownership through accessible tax deductions. Examples of these include deductions for interest and property tax payments and elimination of taxes on the property's deemed rental value.
Chat with our Pomelo team who can guide you through the various tax concessions available to you depending on where you are located.
From the first meeting to securing you the best home loan option, to ultimately finding your ideal home, we'll be here with you every step of the way. We'l assist you in obtaining the most affordable rates and fees and help you secure the loan you need to purchase your first home.
Chat with our Pomelo team who can help you with getting the right support to buying your first home.
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