Reading these ballooning figures is gut-wrenching for any aspiring homeowners who are already battling with entry-level jobs,squeezed paychecks and an ever-rising cost of living. However,determined home buyers can still find their way into the market with careful planning and the help of some new government schemes.
Remote working policies introduced during the pandemic have made living further from cities a viable option for some who had previously been forced to commute,meaning attainable first homes are now found on the peripheries of towns and cities.
Cameron Thiele,20,from the Macedon Ranges in Victoria is in the process of buying his first home. Thiele works full-time as a software engineer and has not yet moved out of home,but is hoping to use theHome Buyers Fund to find his future place.
Introduced in 2021,the fund allows Victorian buyers to get into the market with as little as a 5 per cent deposit,with the state government contributing the rest,up to 30 per cent of the property price,removing the need for Lenders Mortgage Insurance.
Thiele chose this scheme as he intends to live in his home straight away with friends. “I wouldn’t be buying for another two years without[the fund]. It would be impossible if you were renting,” he said.
While the Victorian state government offers its own 5 per cent deposit scheme,the federal government has one as well,called the First Home Guarantee.
TheFirst Home Super Saver Scheme,another beneficial initiative,enables potential homeowners to voluntarily contribute to their superannuation,which they can later withdraw for a house deposit.