Powered by MOMENTUM MEDIA
Powered by MOMENTUM MEDIA
subscribe to our newsletter

Second tranche of FHLDS launches

A further 10,000 places have officially been made available under the government’s First Home Loan Deposit Scheme.

The First Home Loan Deposit Scheme (FHLDS) is an Australian government initiative that aims to help eligible first home buyers buy a home sooner by reducing the size of deposit needed to secure a mortgage.

The FHLDS, administered by the National Housing Finance and Investment Corporation (NHFIC), aims to provide up to 10,000 first home buyers per financial year with access to housing finance with a deposit of at least 5 per cent.

Advertisement
Advertisement

The government has agreed to guarantee the difference between the borrower’s deposit and the standard 20 per cent deposit required to take out a home loan without paying lender’s mortgage insurance.

The scheme first launched in January of this year, with 10,000 places being made available for the six-month period Jan-June 2020.

A further 10,000 places have now been made available for the 2020-21 financial year.

Speaking of the launch of the second tranche, NHFIC CEO Nathan Dal Bon said: “To date we’ve seen widespread appeal of the scheme across all states and territories, including regional and metro areas.

“Notwithstanding the current challenges posed by COVID-19, we anticipate that there will be continued demand for these new 10,000 places.” 

First home buyers can check their eligibility and apply for one of the 10,000 scheme places for the 2020-21 financial year through the panel of 27 participating lenders

Applications from 1 July will require a 2019-20 Notice of Assessment from the Australian Taxation Office to demonstrate that their taxable income is no more than $125,000 for individuals and $200,000 for couples. 

[Related: Major bank cuts rates, gears up for second round of FHLDS]

Second tranche of FHLDS launches
mortgagebusiness

Reporter

If you have any news, ideas or enquiries for Mortgage Business - please contact This email address is being protected from spambots. You need JavaScript enabled to view it.

 

Latest News

The technology solution provider has acquired open banking fintech Frollo in a bid to “improve lending experiences using open banking”,...

Two-thirds of analysts do not believe that now is a good time to purchase a home, according to new research. ...

A seasonal reduction in the number of homes taken to auction has coincided with an increase in clearance rates over the past week. ...

FROM THE WEB
podcast

LATEST PODCAST: Support for current broker remuneration model

Do you expect COVID-19 to reduce or increase your business flows?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.