How do the Schemes help me?
- Simply put, the First Home Loan Deposit Scheme and New Home Guarantee are designed to assist an eligible first home buyer to purchase a house with as little as a 5% deposit1. For the Family Home Guarantee, a deposit of just 2% is required.
- If approved, NHFIC may provide a government loan guarantee of up to 15% of the property’s value. This means eligible borrowers could get a loan faster and avoid having to pay for lenders' mortgage insurance (LMI) which is usually required on loans taken out with a deposit below 20% of the properties value.
- You may still need to borrow up to 95% of the properties value2, but you are able to avoid paying additional LMI.
- The First Home Loan Deposit Scheme is limited to 10,000 guarantees each financial year. The New Home Guarantee is limited to 10,000 for the 2021-22 financial year only3. From 1 July 2021, 10,000 Family Home Guarantees will be made available over four financial years.
- Register your interest with Regional Australia Bank by completing the online form or give us a call.