ABN Group Managing Director Dale Alcock has today congratulated the Prime Minister Scott Morrison for a scheme that will to allow first home buyers to purchase a home with 5 per cent deposit.

“The bipartisan support of a federal home deposit scheme is to be congratulated,” Mr Alcock said.“It’s a positive move by both parties which shouldn’t be limited to just 10,000 homebuyers.”

Mr Alcock said that the scheme would provide a very positive boost to Australia’s housing industry.

“We’ve seen the WA Government’s Keystart low-deposit home loan scheme work extremely well here in assisting those who’ve had difficulty in accessing a loan from mainstream lenders.

“In the 30 years this scheme has been in place, more than 100,000 home owners have been able to purchase a home through Keystart.

“Over this time, we’ve seen that the deposit value is not indicative of the homebuyer’s ability to repay the loan,” he said.

Allowing more first home buyers into the market has not caused inflation of house prices in WA and has only served as a welcomed boost to the economy, Mr Alcock said.

“Allowing first home buyers a way into the market, particularly for new home builds, also acts as a stimulus of the economy.

“In WA we’ve seen the flow on effect as four-fold.

“Not only does it give a much-needed leg up to our first home buyers, it also boosts the housing and land developer industry, employs more trades, creates more apprentices and increases the production of materials,” Mr Alcock said.

13 May 2019