A snapshot of the 2021-22 Federal Budget and how it will affect Adelaide Hills real estate.
There are seven main points of interest that will affect the, already, strong Adelaide Hills property market and wider South Australia. If you’re in the market for a house for sale in the Adelaide Hills, consider these initiatives.
Recent budget changes that affect aspiring homeowners in the Hills
1.The Family Home Guarantee
This Government guarantee transitional loan is designed to help single parents with dependents to secure a home, with as little as a 2% deposit. As part of the new budget, 10,000 places will be made available across the next four years, for single women and men.
2. The New Home Guarantee
An expansion of the first home loan deposit scheme, this guarantee will see 10,000 more places allocated in the 2021-22 financial year to support those entering the property market (buying or building). First homeowners will just need to put down 5% and the Government will guarantee the 15% balance.
3. Further support for first home buyers
Through the first home super saver scheme, the maximum amount of voluntary contributions to be released will increase to $50,000, from the current $30,000 cap.
4. Incentives for retirees to downsize
Australians over 60 years are now eligible to make a one-off, post-tax contribution of up to $300,000 per person (or $600,000 per couple) to their superannuation when they sell their home. The age has dropped from 65 to help people unlock equity to bolster retirement.
5. Pension’s Loan Scheme (PLS)
This one’s available for people who claim the age pension as well as self-funded retirees who own a home and would like to use some equity to aid their retirement income without selling. Eligible Australians will receive a lump sum advance payment equal to 50% of age maximum age pension ($12,385 for singles, $18,670 couples).
6. Social and affordable housing
$125 million will be allocated for social and affordable housing to the states and territories. This will likely include real estate in the Adelaide Hills.
7. Domestic violence aid
$164.8 million will be dedicated to women and children fleeing domestic violence. For the next two years, victims can receive up to $1,500 in immediate cash and $3,500 in goods or direct payments of rental bonds or fees. It goes without saying, this cause is a wonderful use of taxpayers’ funds.
These changes will undoubtedly keep all eyes on the Adelaide Hills property market. If you plan to change your living situation in the coming year – whether you’re looking for houses for sale, selling a property, investing or renting – reach out to our team of experienced Adelaide Hills real estate agents.
As always, we’re here to help you make an empowered move, especially in this fast-changing market. Get in touch for all your property-related questions. You know where we live.
