So you’ve decided you want to buy a house or a unit you can call your own. You’re getting a deposit together but it feels like it is taking ages to reach your goal. The good news is there are some options to explore to help you reach your goal sooner.

First Home Owners Grant

If you haven’t purchased a home before, you might be eligible for the First Home Owner’s Grant (FHOG). The FHOG gives Tasmanian First Home Buyers up to $10,000 toward the purchase or construction of a new home. If it’s your first home and you’re buying an existing home, a discount on duty concession (previously known as stamp duty) may apply.

MyHome

For eligible buyers in Tasmania, the MyHome* program supported by the Tasmanian Government and Homes Tasmania, can help you get into your own home sooner. Bank of us is the exclusive lender for MyHome so you would have a home loan with us.

MyHome makes a home more affordable because the cost of purchasing the home is shared with Homes Tasmania. Plus you’ll only need a 2% deposit.

The program is open to all eligible home buyers, not just first home buyers but there are some other criteria you’ll need to meet, like income and assets tests and how much you can spend on a property. Yes, there’s a lot to take in but don’t worry, our website has a comprehensive fact sheet and info guide or you can always give our friendly team a call.

Home Guarantee Scheme

The Home Guarantee Scheme is run by Housing Australia. You need a bit more of a deposit (5%) but you have a choice of lenders and you can avoid costly lenders mortgage insurance. Eligibility criteria and property price caps also apply.

The good news is you don’t have to do it on your own, from July 1 2023, the scheme eligibility will potentially be widened from singles, married or defacto couples to include siblings, parent and child or two friends. You could buy a home with anyone you know!

There’s also the Regional Home Guarantee Scheme and the Family Home Guarantee scheme which operate in a similar way.

Consider ‘Rentvesting’

If you can’t afford to buy in your desired area or your ideal property is unaffordable right now, consider buying an investment property in a location that is attractive for rental. Look for a property that is more affordable and then build up some equity in your loan which will help when you’re ready to buy the home of your dreams.

If you rent out your original investment, the rent will go towards the cost of your mortgage. As always, you need to do the sums to make sure it adds up and is the best option for you. Don’t forget, as well as property purchase costs, there are ongoing expenses like maintenance, agent fees and landlord insurance to factor in. You also need to be aware that to be eligible for concessions like the First Home Owners Grant, you’ll need to live in the property for at least 6 months.

Remember that buying a home is a big life milestone and for most people it doesn't happen easily. There might be some setbacks and disappointments along the way but stay on track! There’s nothing like the feeling of achieving your dream.

Please note this information is general in nature and does not take into account your personal circumstances or objectives. You should consider this before acting on any of the information contained.

*MyHome is a Homes Tasmania initiative. To learn more about Homes Tasmania, click here: Homes Tasmania - MyHome MyHome eligibility criteria and conditions apply. Bank of us lending criteria, terms and conditions, including fees and charges apply. Full details are available on application.