Single Parent Guarantee

The Single Parent Family Home Guarantee (also known as FHLDS) is an Australian Government initiative that was announced with the 2021 budget. The aim of this was to help single parents with dependents purchase a home. From 1 July 2021, there will be 10,000 Family Home Guarantee Spots available over 4 financial years.

The Guarantee is subject to the borrowers ability to service the loan, and can be used to purchase a new or existing home with a 2% deposit (plus costs)

There are a few requirements for the guarantee, these include:

• Must be over 18 years old and an Australian Citizen or permanent resident

• Intend to occupy the property - this doesn't have to be your first home, but you cannot currently own a home

• You must be the only one listed on title and on the loan

• The single parent must have at least a 2% deposit (plus costs) of the home but less that 20% (plus costs)

• Applicant must be able to prove they are legally responsible for the dependent (can have shared custody)

• Must not have a taxable income of more than $125,000 (child support not included)