Our business purpose at REIF is to help people achieve the great Australian dream. That is, buying a house. In saying that, we acknowledge the fact that this dream can be more challenging to achieve for some than it is for others. That's why we're determined to inform as many people as possible about any sort of incentive that they could be eligible for so their dream can come into full fruition.
If you're a single parent of dependant children and you're looking to enter or re-enter the property market - this article is for you!
In May this year, the Government announced housing measures set to benefit single parents with dependant children. As part of it's Federal Budget, the Australian government recognised the challenges that many single parents face when buying a house and announced a guarantee in support of those challenges.
The Family Home Guarantee will provide 10,000 spots to single parents of dependant children. It will allow these people to purchase a home with as little as a 2 per cent deposit. REIF are pleased to announce that many of our lenders have welcomed this news. We're determined to assist eligible clients utilise this incentive when buying a house!
When Is The Family Home Guarantee Effective?
The Family Home Guarantee came into effect on the 01st of July. It's a four year initiative that'll support 10,000 eligible Australians until the 30th of June 2025.
To reap the benefits of this incentive within particular contract signing dates, please refer to this PDF document listed on the Australian Government's website. This document acts as a more comprehensive guide to the terms and conditions applicable to the type of home contract you wish to sign into.
What Home Loan Products Are Applicable?
This Scheme addresses four home loan products in which it can be applied to. They include;
Off-the-plan purchases
House and land packages
Established dwellings
A land and separate contract to build a home
Different price limits are applied to this Scheme. They're dependant on the home loan product you're buying into and which State/ Territory you're purchasing in. Please refer to the table listed for more details on the price caps in which this incentive will be applicable for.
Eligibility Criteria of Single Parents Under Family Home Guarantee
Under this Scheme, a single person is one that doesn't have a spouse and/ or a de facto partner.
Additionally, you must have at least one dependant child. That nature of the child can be natural or adopted. This Scheme refers to the Social Security Act when defining a dependant child. Generally speaking, you must show that you're legally responsible for the day-to-day care, welfare and development of the child and that they're in your care.
You're an Australian Citizen aged 18 years and over
You have an annual taxable income of $125,000 or less for the previous financial year
You must be the sole applicant listed on the certificate of title
You must intend to live in the property you're purchasing
You don't currently own a home in Australia (regardless of whether you have or haven't owned a home before)
Do You Think You're Eligible?
Are you looking to enter or re-enter the property market as a single parent of a dependant child and believe that you could be eligible to apply for this scheme? Consult with one of our finance specialists. They will be able to review your eligibility and assist you with sourcing the most suitable loan products for your new home purchase.
To learn more, reach out on the details provided. Alternatively, if you're looking to reap this benefit as a first home buyer, check out our free eBook 'Guide To Buying Your First Home.'
Ph: 1300 130 932
Email: clientservices@reif.com.au
We explore this topic on our eBook 'Guide To Buying Your First Home.' You can check it out here for free!
