NSW first home buyers to get government equity option
First-home buyers in NSW will be able to receive a contribution from the state government towards a house deposit in return for equity in the property.
The proposal is being devised to address Sydney's affordability crisis by the Perrottet government.
The scheme would help first-home buyers enter the market earlier in a style already underway in Victoria.
The equity being held by the government would be repaid in instalments or when the property was sold.
Parents of first-home buyers could also hand over equity in their homes to the government in order to help children buy a property.
Details of the policy are being worked through, according to the Sydney Morning Herald, including whether there would be a cap on the amount the government would contribute, or the price of property or land.
"Increasingly younger generations think being able to buy their first home is unachievable, and for me, that's unacceptable," Dominic Perrottet said.
"As a parent, I would happily sacrifice some equity in my home if I knew it would give my kids a foot in the door."
NSW Treasurer Matt Kean said home ownership was "one of the biggest intergenerational challenges of our time".
First home buyers snapped up apartments in The Wave, the newest address in Sydney's Rockdale, with prices from $530,000 for one bedroom apartments and two bedrooms from $695,000.
Completed in 2021, The Wave at 376 Princes Highway, Rockdale, around 15 kilometres south of Sydney, was developed by the veteran property development firm Chanine Developments.
The eight-level, CD Architects-designed block of just 35 apartments saw first home buyers take advantage of the HomeBuilder grant, as well as the first home buyer stamp duty concessions.
Prices from $424,000 are on offer at nearby Kogarah Central, which has been completed. It is offering a $25,000 price deduction in the new $175 million development.
Developer Level 33 constructed the 233 apartment block, with the majority bought by first home-buyers and owner-occupiers.
Founded in Sydney in 1999 as a family-owned and operated business, Level 33 specialise in multi-residential and commercial projects.
Closer to the city, Infinity by Crown has attracted first home buyers to Zetland with prices from $650,000.
Prices start at $620,000 across town at NEUE at Macquarie Park.
At Granville prices start at $460,000 in the Develotek.
Project launches set for 2022 include Aland's Merrylands project.
