This article is from the Australian Property Journal archive
THE Victorian government has officially launched HomesVic, the shared equity scheme that will help up to 400 eligible first home buyers by purchasing a 25% stake in their home.
Under the scheme, first home buyers who meet the eligibility criteria will only need a five per cent deposit, and the Government to take a proportional beneficial interest of up to 25% in the property.
When the properties are sold, participating buyers will pay off the proportional beneficial interest, which the government will reinvest in other homes.
The pilot scheme is backed by a $50 million fund and will be targeted at first home buyers on low to moderate incomes.
The government has also abolished stamp duty for first home buyers purchasing new and existing homes up to $600,000, and provided discounted stamp duty up to $750,000.
In the six-months to 31 December 2017, more than 9,700 first home buyers across Victoria paid no stamp duty, while another 2,000 paid reduced stamp duty – representing a saving of $212 million for first home buyers.
Australian Property Journal
