One mortgage broker has told Sky News that a policy, which has been in place since 2003, has had a ‘lukewarm’ response, with just 10 per cent of first home buyers using the scheme.
Craig Pope says it fills a ‘niche’ group of people: those unattractive to the banks but who can fulfil their repayment obligations. While the scheme in New Zealand requires a 10 per cent deposit, the plan announced by Mr Morrison, and backed by Labor, would allow first home buyers to purchase a house with just a five per cent deposit. Image: News Corp Australia
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It works in New Zealand, but has low numbers using it due to the overpriced housing market and unrealistic expectations of firsthomebuyers
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