Prime Minister Scott Morrison has announced that from July 1 the government will radically increase the price caps currently placed on the First Home Loan Deposit Scheme.
From July 1, the scheme will apply to homes worth up to $900,000 in Sydney and up to $800,000 in Melbourne.
Currently the scheme allows up to 50,000 first home buyers to purchase a property with a deposit as little as five per cent, with the government acting as guarantor for the remaining 15 per cent.
Yesterday Mr Morrison announced that the price caps on homes for the scheme will be lifted in Melbourne and Sydney.
