HomesVic, a new pilot program that aims to help low to medium income-earning Victorians get into their first homes, took a significant step last Thursday when a range of metropolitan and regional destinations were identified as priority locations.
The pilot shared equity scheme will assist up to 400 first-home buyers who meet the eligibility criteria by reducing the amount of money required for a home loan.
HomesVic will take a proportional interest of up to 25% in the property. In order to be eligible, Victorians will need to earn a maximum of up to $75,000 (for singles) or $95,000 (for couples or families). Buyers also need to have a 5% deposit.
Once the property is sold, participating buyers will settle the proportional interest, which the government will then reinvest into other homes.
The list of locations includes 85 Melbourne suburbs, 130 regional towns and suburbs, and seven peri-urban towns.
“The locations have been chosen in areas where there is a high demand for housing and good access to employment, public transport and other services,” HomesVic said.
According to Martin North, principal of Digital Finance Analytics (DFA), the Melbourne list includes suburbs around Box Hill, Broadmeadows, Dandenong, Epping, Fishermen’s Bend, Footscray, Fountain Gate, Frankston, LaTrobe, Monash, Pakenham, Parkville, Ringwood, Sunshine, and Werribee.
North added that the scheme isn’t available in the majority of Melbourne’s bayside suburbs, the inner eastern suburbs, and some pockets of the inner south.
“Regional centres on the list include Ballarat, Bendigo, Castlemaine, Geelong, La Trobe, Mildura, Seymour, Shepparton, Wangaratta, Warrnambool and Wodonga,” North said.
Those interested in the HomesVic scheme can register at homesvic.vic.gov.au to receive an alert once applications are open.
Related Stories:
More First-Home Buyers Are Buying Property
Victorian Government Unveils Latest Housing Reforms
