Senator Kate Lundy, Bob McMullan and Annette Ellis today said that a Federal Labor Government will help aspiring first home-buyers save a larger deposit by establishing new, low tax First Home Saver Accounts.
“This will be a great way for young people in the ACT to save up for that all-important deposit for their first home”, Senator Lundy said.
“The ACT Government has some terrific incentives to address housing affordability in the ACT, however, this issue requires a national response”, Member for Canberra Annette Ellis said.
“Federal Labor is determined to help alleviate the housing affordability crisis, and this is a great way to help young people get a head start in buying their own home,” Member for Fraser Bob McMullan said.
Over the first three years Federal Labor’s First Home Saver Accounts will help around half a million aspiring first home buyers save towards a bigger deposit by establishing superannuation-style low tax savings accounts.
Federal Labor’s First Home Saver Accounts will help boost national savings, with the accounts holding around $3.5 billion in savings after three years.
Federal Labor’s First Home Saver Accounts will allow a couple – each on an average wage and saving 10 per cent of their income – to save a deposit of around $64,000 over five years.
This $64,000 deposit is around $14,500 – or 30 percent – more than could be achieved by saving through an ordinary deposit account.
This benefit amounts to an extra $2,900 a year in savings towards a home deposit.
Of course, Labor will retain the first home owners grant in addition to this new savings plan
More information on how the First Home Saver Account would work is available at www.alp.org.au.
Contact: Rachel Allen – 0418 488 295 (Lundy), Patrick Myrtle – 6247 4396 (McMullan) or Ash Musgrove – 0419 020 419 (Ellis)
