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Major bank opens 5% home loan deposit waitlist for new buyers

Jessica Yun
·2-min read
Happy couple walking looking at their house
Happy couple walking looking at their house

From today, the Commonwealth Bank will begin accepting requests from first-home buyers to sign up for the Federal Government’s First Home Loan Deposit Scheme (FHLDS), which has been ‘extended’ by 10,000 places.

As part of the 2020-21 Federal Budget, the New Home Guarantee – effectively a new scheme nearly identical to the FHLDS – will be made available this financial year for 10,000 eligible Australians.

The scheme allows first-time home buyers to purchase a house with a deposit of only 5 to 20 per cent of the property’s value.

The difference between the original FHLDS and the New Home Guarantee is that the new scheme only allows first-home buyers to build or purchase brand new homes, while the previous scheme allows you to purchase any type of dwelling.

The new scheme also has different caps on property prices to the previous scheme.

CBA’s waitlist for the original scheme has closed, but the bank is now allowing Aussies to sign up for the new scheme from Wednesday.

“We know that saving for a deposit can be difficult. Given the challenges faced by many of our customers over the past few months, we support any initiatives that play a constructive role in helping first home buyers get onto the property ladder and support the broader economic recovery, specifically in the construction industry,” said Commonwealth Bank group executive Angus Sullivan.

The National Housing Finance and Investment Corporation (NHFIC) is in charge of administering the FHLDS and New Home Guarantee scheme.

While CBA is taking requests to be on the scheme’s waitlist, Yahoo Finance understands the scheme is not actually active yet, as the NHFIC is still determining the eligibility process.

There is a view to make the scheme available by the end of the year.

CBA’s waitlist is intended for those who have expressed interest in the scheme to be first in line to apply when the scheme does become available.

“NHFIC is currently working with the FHLDS participating panel lenders on the implementation of the NHG,” the corporation said on its website.

“Further information and updates will be provided on the NHFIC website in the near future.”

To apply for either schemes, eligible Australians have to apply directly with one of 27 participating lenders, of which CBA and NAB are ‘major’ bank lenders. NHFIC does not accept applications directly or provide personal financial advice.

To request to be part of CBA’s waitlist for the New Home Guarantee, get in touch with a CommBank lender at a branch; call 13 22 24; or book an appointment.

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