- 72% of budding first home buyers wish to use available schemes
- Over the past five year, only 54% of first home buyers that purchased used such schemes
- Great Southern Bank is looking into financing options for alternative types of housing - such as tiny homes
A survey conducted by Great Southern Bank (formerly CUA) has found that most Australian first home buyers are relying more on numerous government schemes than ever before.
In particular, it found that 72% of budding first home buyers want to use the government scheme support – compared to 54% who purchased during the past five years.
54% of homeowners surveyed said they had made use of government schemes and financial support, with only 15% saying they did not.
The remaining 31% said they had not yet tapped into available support, but would not rule out doing so in the future.
Despite Western Australia having some of the most affordable property in the country, 77% of first home buyers were likely to make use of schemes and support – the highest of any state or territory. This was followed by Tasmania (75%), NSW (72%) and the ACT (71%). Victorians were the least likely (60%).
Great Southern Bank CEO and Managing Director Paul Lewis noted that the bank has helped over 3,000 Australians purchase a home through these schemes, with total lending extending $1 billion.
“As a customer-owned bank whose purpose is to help all Australians own their own home, this is something we are passionate advocates for,” he said.
Last month, the bank announced that it had doubled its first home buyer customers in a year.
Mr Lewis welcomed the expansion of the Home Guarantee Scheme announced during last week’s Federal Budget.
“The Home Guarantee Scheme is a step in the right direction. If house prices are making it more difficult to buy, that just means all of us – Government, banks, and other stakeholders – must work harder to help make home ownership a reality for younger Australians,” he said.
However, Mr Lewis noted that the bank is looking towards financing for more alternative types of housing.
“There is still more to be done to address the challenges facing first home buyers but there is no silver bullet,” he said.
“That is why we are talking to political stakeholders to advocate for a range of measures to benefit homebuyers, including support for lending for alternative housing forms such as tiny homes, container homes, and demountables.
Paul Lewis, Great Southern Bank CEO and Managing Director
“We also see the promotion of innovative home ownership models, such as shared equity and rent-to-buy schemes, playing a part in helping first home buyers.”
Mr Lewis’ comments come as there is renewed interest in other types of property investing, such as fractional and fragmented property, as more Australians continue to be priced out of the property market.
