Home Ownership Program - transfer of funding from the Home Ownership on Indigenous Land Program - Budget 2010-11

Key Elements

• Unutilised capital of $56.0 million will be temporarily transferred from the Home Ownership on Indigenous Land program into the Home Ownership Program while further land tenure reform takes place on Indigenous land in remote communities.
• The Home Ownership Program provides an affordable entry into home ownership for Indigenous people. It is focused on first home buyers who have difficulty in obtaining home loan finance from mainstream commercial lenders.
• This measure will allow approximately 250 additional loans for families and individuals, the majority of whom live in urban and regional areas.
• The capital will be returned to the Home Ownership on Indigenous Land program as demand for that program accelerates.
• This is an important measure which contributes to the Government’s commitment to deliver on the National Affordable Housing Agreement by ensuring that Indigenous Australians have the same home purchase opportunities as non Indigenous Australians.

Background

• Both the Home Ownership Program and the Home Ownership on Indigenous Land program are administered by Indigenous Business Australia and assist Indigenous Australians to achieve home ownership by providing concessional home loans.

Implementation

• The additional capital for the Home Ownership Program will be available from 1 July 2010 and Indigenous Business Australia will immediately begin processing the additional applicants.

Total Government Funding

• The Government is undertaking a one-off temporary transfer of $56.0 million in unutilised capital from the Home Ownership on Indigenous Land program to the Home Ownership Program in 2010-11.