Government To Help First Time Buyers In Perth

A sign of high house prices in Perth is that many families are now struggling to afford a home. Just a few years ago, however, Perth was well known for its affordable housing market. The State Government in Western Australia has now launched a shared equity scheme to help thousands of families to buy their first home.

Premier Alan Carpenter said the $300million First Start program was aimed at helping first homebuyers on lower to moderate incomes to achieve home ownership.

“The property boom and interest rate increases have combined to make the great Australian dream of owning your own home very difficult, particularly for struggling WA families.”

The scheme is based on the Department of Housing and Works purchasing a share in the property and then providing the homebuyer with a Keystart low-deposit loan to purchase the remaining share.

The department will purchase:

• up to 40 per cent for families with incomes under $60,000;
• up to 30 per cent for couples with incomes under $50,000; and
• up to 30 per cent for singles with incomes under $35,000.

The maximum property price will be $365,000 (examples of suburbs attached). First Start borrowers must be owner-occupiers and qualify for the First Home Owner’s Grant. (Migrants buying their first home in Australia do qualify First Home Owner’s Grant.) The scheme will be offered statewide and be capable of assisting 1,000 households a year for the next three years.

The Premier said to ensure the success of First Start, the department would make a significant number of affordable properties available through its New Living Scheme. More affordable house and land packages would also be made available.

“To serve as a guide for the private sector, the department has already produced two display homes in its Banksia Grove development which can be duplicated in the current market for below $365,000.”

The following list of suburbs had December median house prices lower than $365,000:

Alexander Heights
Armadale
Ashfield
Balga
Banksia Grove
Beckenham
Beechboro
Beldon
Bellevue
Brookdale
Bullsbrook
Calista
Cannington
Caversham
Clarkson
Cloverdale
Coolbellup
Cooloongup
Craigie
East Cannington
Eden Hill
Forrestfield
Geraldton
Girrawheen
Gosnells
Heathridge
Hillman
Huntingdale
Jarrahdale
Kalgoorlie
Kelmscott
Kenwick
Koondoola
Koongamia
Langford
Leda
Lockridge
Lynwood
Maddington
Marangaroo
Medina
Merriwa
Middle Swan
Midland
Midvale
Mirrabooka
Orelia
Parkwood
Parmelia
Queens Park
Redcliffe
Ridgewood
Seville Grove
South Lake
Stratton
Swan View
Thornlie
Waikiki
Wanneroo
Warnbro
Westfield
Westminster
Wexcombe
Woodbridge
Wooroloo
Yangebup