November 16, 2022

Why Not Build Something

A magazine for construction freaks

Loans for House and Land Packages

Loans for House and Land Packages

House and land package’ is a term that expresses a deal that comprises both, a new house and the land on which it is built. There are numerous such packages offered by home developers in Victoria as well as across Australia which are unique with diverse features. House builders in Melbourne and across Australia come up with a variety of house and land packages where you can choose one according to your convenience.

There are primarily two options of house and land packages a person can choose.

  • First, you can choose a piece of land of the desired size and location and then go with a personalized blueprint of your house. These packages are also called ‘off the plan’ packages.
  • The second way is to buy a house that is pre-built on the land. People go with this package more often than not. Whichever package you choose, the home must be authorized as per minimum quality standards as necessary by state and local authorities.

The Australian government has different schemes for first home buyers. They are always willing to provide a consistent level of service and support. The first Home Loan Deposit scheme is an initiative taken by the Government of Australia to help and support eligible first home buyers to acquire a home in less time. Under this scheme, NHIFC guarantees a part of an eligible first home buyer’s loan from a participating lender. This empowers first home buyers to purchase a home with a down payment of as little as 5 percent (lender’s criteria apply).

Loans for House and Land Packages

All House and Land Packages in Melbourne, Victoria, and Australia are eligible for such loans and it depends on the person applying and their credit history and other details to be approved for such a loan.

NHFIC has brought more than 10,000 First Home Loan Deposit Schemes places to date. From July 2020 there will be 10,000 more Scheme places available for eligible people. Around 5,000 Scheme places were made accessible to the major banks like CBA and NAB. At present, these Scheme places are reserved. Twenty-five non-major leaders have offered the remaining 5,000 Scheme places for the present financial year. Most of these Scheme places are available to date to be reserved by possible first home buyers.

Although most of the first Scheme places connected to major banks are reserved, first home buyers can still be in touch with major banks as the reserved Scheme places can become accessible if candidates do not go on and buy a property. If you have a Scheme place that is secured with one participating lender, it is still possible for you to apply with any of the other participating lenders to make sure you can access a competitive loan rate. You will get only one Scheme place.

Before making a reservation on your application first, homebuyers should decide whether they will apply as single or as part of a couple. After making the reservation either as a single or as a couple, the reservation category can be changed only by filing a new application. You will grab a Scheme place only if it is available at that time. You and your partner will need your Notice of Assessment for your taxable revenue for the preceding financial year to get your application. There are also different eligibility criteria depending on the place you live and whether or not you have owned a property in the past. 

These were some of the initiatives taken by the Australian government. If you are going through financial instability, you can also find extra support information from the Australian Banking Associations and the Australian Financial Complaints Authority