{"id":2931,"date":"2022-06-29T03:58:55","date_gmt":"2022-06-29T03:58:55","guid":{"rendered":"https:\/\/royabhishek.in\/urbanbuyer\/what-a-change-in-government-means-for-australias-property-market\/"},"modified":"2022-06-29T03:58:55","modified_gmt":"2022-06-29T03:58:55","slug":"what-a-change-in-government-means-for-australias-property-market","status":"publish","type":"post","link":"https:\/\/royabhishek.in\/urbanbuyer\/what-a-change-in-government-means-for-australias-property-market\/","title":{"rendered":"What a change in government means for Australia\u2019s property market"},"content":{"rendered":"

[ad_1]
\n<\/p>\n

\n
\n
\n\n\"key<\/picture><\/span><\/p>\n

Key takeaways<\/p>\n

The Labor party’s recent Federal Election win brought about a raft of new policy measures designed to address the property market’s biggest issues, including increasing housing affordability and making it easier for first-home buyers to get onto the property ladder.<\/p>\n

The federal government’s Help to Buy scheme aims to assist first-home buyers with both the deposit and mortgage repayments, propelling buyers into the property market earlier and helping those who may not be able to buy otherwise.<\/p>\n

The government will have an increasing stake in the property market and will benefit from capital growth, but home buyers can buy back stakes when they become financially sound.<\/p>\n

The Coalition introduced the First Home Loan Deposit scheme to address affordability and home ownership constraints. Buyers can avoid paying Lenders’ Mortgage Insurance (LMI) by making a 5% deposit.<\/p>\n

The HTB scheme allows buyers to enter the property market as much as 11 years and 5 months earlier than the FHLD scheme and reduces mortgage repayments. However, Domain recommends that homeowners dedicate less than 30% of their income towards mortgage repayments to avoid “mortgage stress”.<\/p>\n<\/div>\n<\/div>\n

The Labor party\u2019s recent Federal Election win brought about a raft of new policy measures designed to address the property market\u2019s<\/a> biggest issues.<\/p>\n

Housing affordability and ownership have become an increasingly important issue for governments to address after record house prices pushed the idea of owning property out of the reach of many first-home buyers on low- to mid-level incomes.<\/p>\n

\"Price<\/p>\n

Sydney house prices rose 40%<\/a> from the trough in June 2020 through to March 2022, providing the steepest upswing on record, Domain\u2019s inaugural NSW Spotlight report<\/a> reveals.<\/p>\n

And while prices in many NSW areas have peaked, and are expected to fall further this year, many buyers will still find the prospect of owning a home difficult.<\/p>\n

But the change in government<\/a> and its new buyer incentives may change all that, making it much easier for many first-home buyers to get onto the property ladder.<\/p>\n

Help to Buy (HTB) scheme<\/span><\/h2>\n

The federal government\u2019s Help to Buy (HTB) scheme<\/a> aims to assist first-home buyers with both the deposit and mortgage repayments, propelling buyers into the property market earlier and helping those who may not be able to buy otherwise.<\/p>\n

Here\u2019s how it works and the criteria:<\/p>\n