The National Housing Finance and Investment Corporation (NHFIC) today commenced a request for proposal (RFP) process providing the opportunity for 1-2 more major banks (ANZ, Westpac) to join its major bank lender panel for the Home Guarantee Scheme (Scheme or HGS).
The Scheme is an Australian Government initiative to support eligible home buyers to become homeowners sooner. It comprises the First Home Guarantee (FHBG), previously known as the First Home Loan Deposit Scheme, and the Family Home Guarantee (FHG). NHFIC administers the Scheme on behalf of the Government.
The Scheme is currently available to eligible home buyers through 2 major banks (CBA and NAB) and 30 non-major lenders. Recent amendments to NHFIC’s Investment Mandate removed the 2-major-bank limit, allowing the RFP process to commence.
For the 2022-23 financial year, NHFIC anticipates doubling the number of Scheme places to up to 50,000, including 10,000 places in the Australian Government’s announced Regional First Home Buyer Support Scheme. The proposed addition of another 1-2 major banks to the panel will provide home buyers with more choice of lenders and accessibility to the expanded Scheme.
The RFP opens today, 25 July 2022, and closes on 12 August 2022 11:59pm (Sydney time). A decision to appoint any new lenders to the panel is expected in early September with new participating lenders to offer the Scheme from 30 September 2022.
The Scheme has experienced strong demand since it was launched in 2020, helping more than 61,000 Australians buy or build a home.
More information on the RFP is available on the NHFIC website HERE.