53,000 home in on buyer schemes

Almost 53,000 people have entered the housing market in less than two years under Morrison government schemes supporting single parents and first-home buyers.

Housing Minister Michael Sukkar. Picture: Luis Ascui

Almost 53,000 people have entered the housing market in less than two years under the Morrison government’s marquee budget schemes supporting single parents and first-home buyers.

New government data reveals the Family Home Guarantee, helping single parents purchase a property with as little as a 2 per cent deposit, has been accessed by 1236 Australians since the scheme began on July 1.

Housing Minister Michael Sukkar said of the processed applications, which had exceeded Treasury forecasts, 84 per cent “were single mums looking to provide the security of homeownership for their children”.

“The number of new homeowners is particularly encouraging among single parents, given the challenges of saving a deposit while on a single income and raising children,” Mr Sukkar said.

Almost half of the additional 30,000 places made available from July 1 under the First Home Loan Deposit Scheme have already been filled, with more than 12,200 applications processed.

Despite property prices soaring, record low interest rates and limited access to the real estate market during the pandemic, Mr Sukkar said “first homeowner numbers are at their highest levels in nearly 15 years”.

Canberra single mum Nicole said “with the amount of rent we were paying we were never going to be able to save enough for a deposit”. “Renting has a level of fear in that we were scared that our lease would not be renewed or that the owner might sell from under us. It has given me, a single parent, the ability to be able to purchase a place that is our home,” she said.

NAB home ownership executive Andy Kerr said customer interest in the government’s schemes had been “beyond our expectations”.

“Buying a home is often a major challenge for Australians on a single income. We have seen the Family Home Guarantee provide hope and build confidence for single parents to enter, or in some cases re-enter, the property market,” Mr Kerr said.

“Demand has been the strongest we’ve seen in a generation with NAB first-home buyer activity up 56 per cent across Australia in FY21. The most recent launch of the First Home Loan Deposit Scheme and the expanded suitability has seen an uplift in first-home buyer activity since July.”

The Family Home Guarantee announced in the May budget is available to single parents with at least one dependent child from July 1 to June 30, 2025.

There are 20,000 places available under the New Home Guarantee, supporting Australians in building or buying a new home, and the First Home Loan Deposit Scheme during the current financial year.