Shared Equity Scheme - 2% Deposit’s for Single Parents, Teachers, Nurses | How Does it work ?

The NSW Government under premier Dominic Perrottet aim’s to provide much needed support for NSW Essential workers & Single parent’s struggling to get their foot into the property market with the NEW Shared Equity Scheme.

This creative new plan to aid first home buyer’s is something which has never been attempted before and has garnered both negative & positive feedback from both side’s of the aisle about its effectiveness in actually assisting first home buyer’s and also the effect it could have on the market.

Does this benevolent concept to help improve the affordability of the housing market for first home buyer’s end up having a complete opposite effect - Will developers and vendor’s selling property within the criteria necessary to be approved for the scheme just increase their expectations to capitalize on the opportunity themselves ?

Only time will tell; For now though IF you are able to move quickly and take action perhaps you will seize the opportunity at hand before those opportunistic profiteer’s supplying the market work out how they will take advantage of it for themselves.

This post aim’s to provide some useful fact’s regarding the eligibility criteria’s of the scheme but we highly advise doing your own research via the revenue NSW website which has the most accurate and up to date information click HERE to go to NSW.gov.au’s dedicated information page.

WHO IS ELIGIBLE ?

• A single parent of a child or children under 18 years of age

• A single person 50 years of age or above, or

• First home buyer who are deemed “key workers” : Nurses, teachers or police.

BUT IT’S NEVER THAT SIMPLE - WHAT ELSE ?

• The gross income of the household must be no more than $90,000 for singles and $120,000 for couples.

• The participant must be buying a home with a property price less than $950,000 in Sydney and major regional centres (Newcastle, Lake Macquarie, Illawarra, Central Coast, North Coast of NSW) or less than $600,000 in other regional areas.
  CLICK HERE to see some properties I have access to which are IDEAL for the shared equity scheme in NW Sydey

• The participant must be at least 18 years of age and be an Australian or New Zealand citizen, or a permanent Australian resident.

• The participant must have a minimum deposit of 2 per cent of the purchase price.

  For example I have brand new home’s 2km from Schofield’s station starting at $830,000 - 2% of $830,000 = $16,600 + As a First Home Buyer you also pay $0 LMI & May get a stamp duty concession as well, Contact me for more information !

• The participant must occupy the property as their principal place of residence.

• The participant must not own an interest in any land in Australia or overseas at the time of purchase.

• The participant must not be able to service the mortgage for the property purchase without the Government equity contribution but be able to service the mortgage with a participating lender with the Government equity contribution.

  This is where you need an experienced broker to check your finance’s for you and establish what your pre-approval limit is, If you dont know your pre-approval you will not be able to distinguish which properties will meet the criteria required to utilize the opportunity - CLICK HERE & I will connect you with my favorite broker, Someone who in particular is passionate about assisting first home buyers

THIS IS NOT FINANCIAL ADVICE - Make sure you check the official revenue NSW website’s or consult with a good broker & conveyancer who can help navigate the many schemes and give professional advice on your property’s eligibility for these incentives, They change frequently and are hard to track.