Govt’s shared equity scheme to help childcare workers, paramedics buy a home

Childcare workers and paramedics will be able to buy a home with a deposit of as little as 2 per cent as the state government expands its shared equity scheme.

Childcare workers and paramedics are set to be given a helping hand in buying their first home, with the state government to expand its shared equity scheme.

The Saturday Telegraph can reveal both sectors have been added to the list of eligible workers who will be able to enter the housing market with a deposit of as little as 2 per cent.

In turn, the government will contribute an equity share of as much as 40 per cent of the property price for a new home, or 30 per cent for an existing one.

As part of the expansion, the government has also unveiled Bendigo and Adelaide Bank as the participating lender for Shared Equity Home Buyer Helper, with other lenders able to join the initiative in 2023.

A centrepiece of the state budget, the scheme was developed in response to growing numbers of key workers being locked out of the housing market.

Childcare workers Fernando Villarreal, Jodee Tomsic and Domenico Garzarella like the idea of getting help with buying a home. Picture: Sam Ruttyn

Childcare worker and paramedics will now join a list of eligible workers that includes nurses, midwives, teachers and police officers.

Single parents and singles aged over 50 will also be able to join, even if they are not first-homebuyers.

The government will also on Saturday unveil an online tool to help NSW residents identify if they are eligible to apply when the scheme is launched next month.

Treasurer Matt Kean said the scheme would help make home ownership a reality for more people who would otherwise struggle to buy their own property.

“These key workers are the backbone of our communities and this initiative, which will enable them to buy a property with as little as a 2 per cent deposit, will help them find a place to call their own,” he said.

The scheme was one of the most significant elements of a $2.8 billion housing package of the budget.

The government will set aside 3000 spots each year for two financial years.

First-homebuyers wanting to take part must not exceed a maximum gross income of $90,000 for singles or $120,000 for couples.

The maximum value of a property purchased under the scheme will be $950,000 in Sydney and regional centres, and $600,000 in other parts of NSW.

Only About Children childcare worker Fernando Villareal, 35, and he and his wife have been saving for five years for a home deposit.

Mr Villareal said he had anticipated he would have had to save for another three to four years to accumulate the necessary deposit to obtain a bank loan.

“This is great news,” he said. “I love my job — it is my passion — and I would love to stay in the industry.”

To find out if you are eligible and register your interest: nsw.gov.au/shared-equity

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