The Home Guarantee Scheme (HGS) is an Australian Government initiative to support first home buyers and single parents, with dependent children, to buy their home sooner.
From 1 July 2022 the number of places available in the Scheme has increased to 40,000.
The Mutual Bank has been approved by the National Housing Finance and Investment Corporation (NHFIC) as a participating lender in the Home Guarantee Scheme since 2020.
The First Home Loan Deposit Scheme (FHLDS) has been renamed the First Home Guarantee (FHBG). Usually, home buyers with less than a 20 percent deposit need to pay lenders mortgage insurance. Under the FHBG, eligible first home buyers can purchase a home with a deposit of as little as five percent, pending other lending criteria being met.
From 1 July 2022, the number of FHBG places has increased from 10,000 to 35,000 per financial year.
The Family Home Guarantee (FHG) supports single parents with dependent children to buy a home.
The Family Home Guarantee can be used to build a new home or purchase an existing home with a deposit of as little as 2 per cent, regardless of whether the single parent is a first home buyer or a previous homeowner.
The FHG excludes investment properties.
The FHG will have an annual allocation of 5,000 places per year from 1 July 2022 until 30 June 2025.
New price caps will apply for new applications to both the FHBG and FHG.
You can find more information about the HGS and eligibility criteria for each Guarantee on the National Housing Finance and Investment Corporation website.
We are here to help you get into your new home sooner - talk to one of our Banking Managers for more information about the Home Guarantee Scheme today – call 1300 688 825 or enquire online today.
