The scheme to help single parents buy homes

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Learning and development professional and single mother Therese Gebran sometimes felt that buying her own home was out of reach.

“Some people’s lives follow a straight financial line to home ownership,” said Ms Gebran. “My path to home ownership has been a constant stream of stop, start, go back three steps, push forward. I lost faith and confidence that it would ever happen,” she said.

Thanks to the Government’s Family Home Guarantee (FHG) Scheme, Ms Gebran was able to finally fulfill that dream and buy a home in Blacktown, NSW for her and her son, Ainsley-Jorge.

More than 11,000 Australians who were previously locked out of the housing market will become homebuyers through the scheme. The Family Home Guarantee enables a single parent to purchase a home with a deposit of as little as 2 per cent.

“I missed out on some beautiful properties that were cosy enough and roomy enough for Ainsley and myself,” Ms Gebran said. “But in the end, a three bedroom townhouse purchased through lockdown via video, emails and many phone calls, I finally settled on a home that fits us perfectly.

“NAB has restored my faith to dream of owning a forever home. We talked about the opportunity that the Family Home Guarantee would provide me and my son and my banker Fayaz has been with me every step of the way in making that dream a reality.”

NAB was the first lender selected to participate in the First Home Loan Deposit Scheme (FHLDS) by the National Housing Finance and Investment Corporation (NHFIC) in November 2019.

The FHLDS allows eligible first home buyers to purchase a home with a deposit of as little as 5%. This is because NHFIC guarantees scheme lenders up to 15% of the value of the property financed by an eligible first home buyer’s home loan.

The scheme commenced on 1 January 2020. Customers can apply for the FHLDS or FHG through NAB branches, telephone and mobile bankers, or our broker network.

NAB Executive Home Ownership, Andy Kerr said NAB has seen first-hand how the FHLDS and FHG has helped thousands of Australians purchase their first home earlier than they thought possible.

“Customer interest has been beyond our expectations from day one,” Mr Kerr said. “Buying a home is often a major challenge for Australians on a single income.

“We have seen the Family Home Guarantee provide hope and build confidence for single parents to enter, or in some cases re-enter, the property market.

“During this time first home buyers have entered the market at levels we haven’t seen for a decade. We look forward to supporting thousands more in partnership with the Federal Government and NHFIC.”

Nicole, a single mother from Canberra, has also recently realised her dream of buying a home with her daughter. The scheme ensured she could save enough for a deposit while still renting.

“With the amount of rent we were paying, we were never going to be able to save enough for a deposit,” Nicole said. “The Family Home Guarantee has given us the ability to buy without having to try and come up with a huge deposit.

“NAB could see that just because I was a single parent doesn’t mean I should miss the opportunity to own my own home.

“My lending manager went over and above to get us the home we wanted. Buying a house means we get to make memories in a house we won’t have to leave.”

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