The number of new loan commitments made by owner-occupier first-home buyers in the first five months of 2023, totaling 39,068, is the lowest it has been at the start of a year since 2017. The First Home Guarantee presents an opportunity for you to secure your dream home.

What is the First Home Guarantee and how does it work?

The First Home Guarantee in Australia is a program designed to assist first-time homebuyers in entering the property market with a smaller initial deposit. It aims to make homeownership more accessible and affordable by providing government guarantees on a portion of the property value.

The scheme is open to first-home buyers who meet certain criteria, including not having owned any property in Australia before or not having owned property within the last 10 years.

The minimum deposit required under the scheme is 5% of the property value. This means that the borrower needs to contribute at least 5% of the purchase price from their own savings.

Contact Mango Financial Group today to determine your eligibility and discover the participating lenders involved in the scheme.

Under this scheme, if a borrower provides a deposit equivalent to 5% of the property value, the government guarantees 15% of the property value. This arrangement ensures that the lender faces the same level of risk as they would if the borrower had provided a 20% deposit.

Principle of action:

The minimum deposit required is 5%.
Both new and existing homes are eligible properties.
Starting from 1 July 2023, there are 35,000 available slots for the year.
Single individuals or joint applicants, including family members or friends, can submit an application.
First-home buyers, as well as individuals who have not owned property in Australia within the last ten years, are now eligible.
There are no specific location restrictions; however, price caps vary depending on the area.
Since the beginning of the new financial year on 1 July, a total of 35,000 additional slots have become accessible for first-time buyers aiming to enter the property market with a smaller down payment, thanks to the First Home Guarantee Scheme.

Contact Mango Financial Group to reserve your slot!

It’s essential to select a reputable and qualified professional.

How things work:

Mango Financial Group assist with the loan application process, handling paperwork and liaising with lenders on your behalf. They can streamline the application, ensuring that all required documents are provided accurately and promptly. This support can save you time and effort, reducing the administrative burden associated with the application process.

We negotiate with lenders on your behalf, potentially securing more favorable loan terms and conditions. They use their industry knowledge and relationships with lenders to advocate for competitive interest rates, reduced fees, and other beneficial terms that align with your financial goals.

The First Home Guarantee scheme in Australia offers several benefits for eligible first-home buyers. Some of the key benefits include:

Lower Deposit Requirement
Government Guarantee
Increased Affordability
Access to the Property Market
Flexible Property Options
Potential Cost Savings
No Location Restrictions (Price Caps Vary)

Overall, the First Home Guarantee scheme aims to support first-time buyers in achieving their homeownership goals by reducing the deposit requirement, sharing the risk, and providing greater affordability and access to the property market.

I hope you got a lot of value from the newsletter. If you need help to buy a property, purchase a vehicle or refinance a loan, don’t hesitate to get in touch.

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Kind Regards,

Shahmir Naqvi

0401 265 254

Disclaimer: The information provided above is on the understanding that it is for illustrative and discussion purposes only. Any party seeking to rely on its content or otherwise should make their own enquiries and research to ensure its relevance to your specific personal and business requirements and circumstances.