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Writer's pictureDan Kruze

NSW Government Shared Equity Home Scheme

The NSW Government is about to launch a new "shared equity" home buyer scheme, whereby the NSW Government will acquire up to 40% of the price of a property to help certain groups of people to purchase a principal place of residence.



Eligibility

To be eligible for the scheme, you must be either a single parent, single person over 50 or a first home buyer in one of the following professions:

  1. Nurse

  2. Midwife

  3. Paramedic

  4. Teacher

  5. Early childhood educator

  6. Police officers

Other conditions that must be met to be eligible for the scheme include:

  1. Your gross income must be less then $90,000 for singles and $120,000 for couples

  2. The house must cost less then $950,000 in Sydney, Newcastle and Central Coast or $600,000 in rural areas.

  3. You must be over 18 years of age and an Australian citizen or permanent resident

  4. You must have a minimum deposit of 2%

  5. You must occupy the property as your principal place of residence

  6. You must not currently own any property

  7. You must not be able to service the mortgage without the Government's assistance


About the Scheme

All purchasing costs such as legal fees and stamp duty will remain the responsibility of the participant and the NSW Government will not assist in the ongoing property costs.


When the property is sold, the NSW Government will receive their proportion of the sale proceeds and share in any gain made on the sale. You are also able to buy back the NSW Government's equity in parcels of 5% of the property value.


More Information

For more information, please check out the NSW Government website or contact one of our accountants to discuss further.


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