The 3 cheapest ways to buy your First Home in 2023

1. Family Guarantee.

• Using a Family Guarantee enables you to buy your first home without the need for any savings and you can add all the upfront costs to your loan such as stamp duty.

But we dont all have parents who are willing to go guarantor.

2. First Home Guarantee Scheme

• The next best option is to secure a spot in the First Home Guarantee Scheme.  This is where the government will become your guarantor instead of your parents, guaranteeing up to 15% of your property purchase price without taking any ownership of your new home.  For example in Adelaide, your could buy a $550k home with savings of $58,900 in the bank instead of the standard amount of $75,000.  This is because the government guarantee avoids you paying any Lenders Mortgage Insurance which is fantastic.  There are only 35,000 scheme spots released and although there are plenty of spots currently still available, we do not know how many are left. This round is due to expire on June 30 2023. Here is a link to some more information on the First Home Guarantee Scheme

 3. Help to Buy Scheme

• From July 1st this year, your 3rd best option is to buy a home with the government using the help to buy scheme.  They will own 30% of your home but you can buy a home with a significanly lower deposit.  On a $550k purchase, your savings contribution would be $42,400 and avoids you paying any lenders mortgage Insurance.  Here is a link to further information on the Help to Buy Scheme