News flash! 35,000 places in the First Home Loan Deposit scheme announced by Liberal party
The Morrison Government has announced as part of tomorrow's budget that it will release 35,000 new places in the First Home Loan Deposit Scheme, if it wins the election in May. Committing to continue with the scheme it set up in January 2020, the Federal Government will more than double the places in the scheme from 10,000 currently to 35,000 places, to assist first home buyers to buy with as little as a 5% deposit.
The Liberal Party has committed to these places being made available to eligible first home buyers each financial year ,which will give first home buyers a greater shot each year to buy a home sooner with a smaller deposit.
Current places in the scheme have been hotly contested by first home buyers eager to avoid having any Lenders Mortgage Insurance added to their loan, potentially saving thousands of dollars that they would otherwise be charged.
According to the Federal Government, since its inception, almost 60,000 Australians have been supported by such being snapped up by women.
The extension of the scheme and increase in scheme placements is dependent upon the Liberal Party remaining in power and winning the upcoming May election.
On the opposing side, so far the Labor Party has announced a focus on regional properties for first home buyers, with a similar scheme being promised for those buying in regional areas, with as little as 5% deposit.
Clearly for young Australians, such promises by both the Liberal party and Labor Party could influence votes as first home buyers seek ways to break into their property market in an increasing expensive property market.