Global Power | Local Knowledge | Uniquely Personal
中文

Deposit saving scheme gains tra...

Deposit saving scheme gains traction

The First Home Saver Account initiative has gathered more than 40,000 accounts.

A scheme to help first time buyers into the Australian property market is gaining traction.

Over the first three months of 2013 there was a surge in users of the incentive, which brought the total number of accounts above 40,000.

The First Home Saver Account scheme was implemented by prime minister Kevin Rudd to help new buyers save a deposit so they could enter the property market. However, it is still well below its target of reaching 750,000 accounts.

Part of the reasons why first time buyers are inspired to start saving for a deposit could be because of the rate cuts from the Reserve Bank of Australia (RBA), which have made housing more affordable.

Even so, organisations such as the Real Estate Institute of Australia (REIA) claim that more can be done still to help first time buyers access the market. REIA has also criticised state governments for cutting grants to aid new buyers in obtaining a house.

Posted by Craig Francis

 

All information provided is of a general nature only and does not take into account your personal financial circumstances or objectives. Before making a decision on the basis of this material, you need to consider, with or without the assistance of a financial adviser, whether the material is appropriate in light of your individual needs and circumstances. This information does not constitute a recommendation to invest in or take out any of the products or services provided by SMATS Services (Australia) Pty Ltd or Australasian Taxation Services Pty Ltd.

Subscribe Now