STANLEY: LIFT THE CAP ON FIRST HOME LOAN DEPOSIT SCHEME

01 June 2020

ANNE STANLEY MP
OPPOSITION WHIP
MEMBER FOR WERRIWA

STANLEY: LIFT THE CAP ON FIRST HOME LOAN DEPOSIT SCHEME

Anne Stanley MP, Federal Member for Werriwa, has called on the Federal Government to lift the cap on the First Home Loan Deposit Scheme for first home buyers in Werriwa, to support local jobs and businesses and help Australia’s economic recovery.

“22,000 new homes are due to be built in the area over the next five years,” she said.

“Supporting the jobs and businesses that are needed to deliver this demand and provide homes for families is crucial.

“There are almost 10,000 people employed by, and 3,000 small businesses in, the housing construction industry in Werriwa,” Ms Stanley said.

“Lifting the cap on the First Home Loan Deposit Scheme for first home buyers who build new homes will encourage the construction of more new homes, and keeping jobs and businesses afloat.”

The First Home Loan Deposit Scheme currently assists 10,000 first home buyers each financial year to purchase a home with a deposit of as little as five per cent, without the need to purchase mortgage insurance.
 
According to the Minister for Housing, within the first six months of operation, the scheme is already fully-subscribed, and most of the assistance has been provided to first home buyers purchasing existing homes.

Labor has been calling on the Government for over five weeks to develop and urgently announce a National Housing Stimulus program to save local jobs.
 
Historically, stimulating the housing construction industry has been central to the national recovery from economic shock.

Labor is calling for the cap to be lifted on the First Home Loan Deposit Scheme for first home buyers who build new homes (subject to the existing income and price caps).

The Master Builders Association, Housing Industry Association and the Urban Development Institute of Australia have all warned the Federal Government that the housing construction industry is about to go off a cliff and have called for an expansion of the First Home Loan Deposit Scheme.

Lifting the cap of the First Home Loan Deposit Scheme for first home buyers who build new homes is another important measure which should form part of a National Housing Stimulus Plan.
 
“The government needs to stop delaying and help save the jobs of local tradies in Werriwa,” said Ms Stanley.