The Regional First Home Buyer Guarantee, an addition to the Home Guarantee Scheme, kicks off on October 1, with an allocation of 10,000 places a year until June 2025.
The Minister for Housing Julie Collins released details of the scheme yesterday, saying it will provide a government guarantee of up to 15 per cent for eligible first home buyers.
To be eligible, applicants must be Australian citizens, purchase outside a capital city and demonstrate they have been living in the region (or an adjacent region) in which they are purchasing their property for at least 12 months.
The Regional First Home Buyer Guarantee joins the other parts of the Home Guarantee Scheme – the First Home Guarantee and the Family Home Guarantee.
The government increased the number of places available through the First Home Guarantee from 10,000 a year to 35,000 a year until 30 June 2025.
Under the First Home Guarantee, an eligible first home buyer can purchase a property with a deposit of 5 per cent. To be eligible for the guarantee, individual income cannot exceed $125,000 and a couple’s income cannot exceed $200,000.
The Family Home Guarantee has an annual allocation of 5000 places a year until 30 June 2025. It supports single parents with at least one dependent child to buy a home, with a deposit of as little as 2 per cent.
Collins said property price caps and income caps for the Regional First Home Buyer Guarantee will be consistent with the First Home Guarantee.
The National Housing Finance and Investment Corporation, which administers the Home Guarantee Scheme, will have detailed information about the regional scheme on its website from October 1.