Tassies’ home ownership equity scheme is seeing success

Homes Tasmania is backing the program, which allows for a reduction on the initial deposit and ongoing mortgage repayments.

According to the state’s Minister for Housing and Construction, Nic Street, the initial 12 months have been “overwhelmingly positive”.

“This strong community uptake has confirmed that MyHome is entrenching itself as a viable pathway to home ownership,” he said.

“MyHome is a program delivered by the Bank of Us and is eligible for both singles and couples.

Mr Street further outlined that “the program assists people to help build or buy their own home, with as little as 2 per cent deposit”.

With the aim of “supporting more Tasmanians into their own homes”, the assistance includes a maximum contribution of $200,000, or 40 per cent of the purchase price of a new home or house and land package.

It also includes assistance up to a maximum of $150,000, or 30 per cent, for the purchase price of an existing home.

Tasmania is not the only state that has implemented a shared equity scheme.

NSW unveiled a shared equity scheme last year, following on from a trial earlier in 2022.

The eligibility criteria of this scheme was expanded earlier this year to better assist NSW residents to get onto the property ladder.

Down in Victoria, a $500 million shared equity arrangement scheme was introduced back in 2021.

Last month, the national shared equity scheme first announced as a pre-election pledge by now-Prime Minister and then Opposition Leader, Anthony Albanese, was revealed to be entering its next phase.

Labelled as a key Labor Party election promise in 2022, the Help to Buy scheme is set to kick off in 2024, so long as the requisite legislation passes in each state and territory.

Leaders around the country had agreed to do so during the latest meeting of the national cabinet.