Australian government Help to buy Scheme

family entering a home while carrying their possessions

The Australian Government Help to Buy scheme is an Australian Government shared equity scheme.

This means the Australian Government assists you to purchase a property that may be more desirable and suitable to your needs, but exceeds your normal affordability.

Under this Scheme, The Australian Government pays a percentage of the purchase price and in exchange takes a corresponding share in your property. This share can change depending on the value of your property as it grows and shrinks over time. However, your name is on the title, you own it and you live in it.

Once the property is settled upon and you own it, you do not need to make payments to the Australian Government through rent, interest or repayments etc. Additionally, over time you can "buy back" the Australian Government's share either all at once or incrementally. If no payments are made to "buy back" the Government's share, upon selling the property this is repaid.

Key points to the Australian Government Help to Buy Scheme:

2% deposit.
Australian Government can contribute up to 30% (existing homes) and 40% new homes.
Increased purchase thresholds for different states and locations across Australia, this can be checked here.
Income thresholds for individual $100,000 and $160,000 for single parents and joint applicants.
Must be an Australian Citizen.

The scheme also allows applicants access to other government programs – like the First Home Super Saver Scheme or First Home Owner Grant.