Single Parent Home Loan Scheme: Required 2% Deposit

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Single Parent Home Loan Scheme Required 2
Deposit
The Australian government offers numerous schemes
to its eligible people. When it comes to home
loans for single parents, government facilitates
them with a single parent home loan scheme in
Australia. This scheme is also known as Family
Home Guarantee. It allows single parents with at
least one dependent child to buy their first home
with small deposits. By acting as a guarantor,
the government will allow single parents to
purchase home faster while avoiding the LMI cost
that usually applies to those who have a low
deposit. In todays blog, well discuss
everything about the family home guarantee.
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What is Governments Single Parent Home Loan
Scheme?
Under the Family Home Guarantee scheme, a single
parent with at least one dependent child can buy
a home with as little as 2 of the property
value, without paying LMI. Basically, LMI is
charged when an individual has a deposit of less
than 20. However, in this scheme, if an eligible
single parent pays a 2 deposit, the government
will guarantee 18 of the loan. As a result,
borrowers dont need to pay LMI. If you dont
know how to access this grant, you can seek help
from a reliable broker.
Single parent home loan scheme by government is
available through 30 June 2025. From 1 July 2022
to June 30, 2025, there are 5,000 places
available for each financial year to qualify
single parents with dependents. Therefore, make
sure you meet the eligibility criteria to get the
benefit of this government scheme.
Who Can Apply for the Family Home Guarantee?
Eligible single parents can apply for this scheme
and save thousands of dollars. To meet the
eligibility criteria for the family home
guarantee, a single parent must
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• Hold Australian citizenship with dependent
  children.
• Have an annual income of 125,000 or less.
• This scheme is not only for first-time home
  buyers. You can be an owner-occupier.
• As little as a 2 deposit of the property value
  is required.
• Be 18 years old or above.
• This scheme is not only available for first-time
  home buyers. However, single parents can still
  qualify for the governments single parent home
  loan scheme even if theyve owned a home
  previously.

Top Tips for Single Parents Applying for Family
Home Guarantee
The following are a few tips that you can follow
before you apply for single parent home loan
scheme

• Do your research
• Make sure to research home loan and real estate
  markets. Firstly, try to research current
  property market prices so you can have an idea of
  how much you need to borrow. Secondly, research
  the home loan market and how much you can afford
  to borrow.

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• Save for a deposit
• Your chances of getting approved will be
  increased if you have the required deposit.
  Although, you need only a 2 deposit if you are
  eligible for the single parent home loan scheme.
  
• Go through your purchase fees
• You can better prepare for your finances if you
  know the costs that come with purchasing a home.
  For instance, consider the cost of property
  valuation, loan application, conveyancing and
  pest inspection. If you are not ready for these
  costs, you may find difficulty managing your
  budget. Additionally, other fees might include
  stamp duty, ongoing fees, and legal and transfer
  fees.
• Be ready before you apply
• To avoid having your home loan rejected, it is
  important to check if you can meet the income
  needs to get your home loan approved. Ensure you
  have a good credit score to maximise your chances
  of getting approved. You can have a good credit
  score if you pay all your bills on time. It
  includes rent, electricity accounts, credit
  cards, and mobile phone plans.
• Get a pre-approved home loan
• Pre-approval can help you avoid wasting your
  valuable time looking at properties that you
  cant afford.

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• Conclusion
• If you are a single parent and looking to buy a
  home for a better future for your dependent child
  or children, then you can access a single parent
  home loan scheme. Eligibility requirements have
  been mentioned in this blog. You can seek help
  from Star Home Loans to get approved for a home
  loan faster.

Contact Details
Website http//starhl.com.au/Phone No 0490
054 115 Address Suite A217, 20 Lexington Drive
Bella Vista NSW 2153 Mail info_at_starhl.com.au