Using Your Super to Buy Your First Home? Here's What You Need to Know About the Super Saver Scheme
Struggling to Save for Your First Home? The Super Saver Scheme Might Help
If you're trying to save for your first home and feel like you're getting nowhere fast, you're not alone. Between rent, bills, and everyday expenses, setting money aside for a deposit can feel out of reach.
That is where the First Home Super Saver Scheme (FHSSS) comes in. It is a government initiative that allows you to use your superannuation fund to boost your deposit savings. And with the expert guidance of Direct Mortgages Wollongong, understanding and using the scheme becomes much simpler.
What Is the First Home Super Saver Scheme?
The FHSSS allows eligible first home buyers to make voluntary contributions into their superannuation fund, then withdraw those contributions later to use toward a home deposit.
Why is this helpful? Because super contributions are taxed at a lower rate than your regular income, meaning you can save more, faster. Plus, your savings earn investment returns while in your fund.
You can contribute:
Up to $15,000 per financial year
Up to a total of $50,000 (as of the 2022 changes)
Direct Mortgages Wollongong can help you calculate how much you can contribute and how to access it when you are ready to buy.
How Does It Help First Home Buyers?
Think of the FHSSS as a high-efficiency savings tool that works harder than a standard savings account. The lower tax rate and investment growth potential make it ideal for first home buyers who are planning ahead.
It is especially useful for those who want to keep their deposit separate from daily spending. While it is not instant cash, it can make a significant difference over time.
Once you are ready to purchase, you can apply to withdraw your FHSSS savings and use them as part of your deposit, giving you a strong financial start.
Who Is Eligible?
To use the FHSSS, you must:
Be 18 years or older
Never have owned property in Australia (some exceptions apply)
Intend to live in the property you are purchasing
Make voluntary contributions into your superannuation fund
If you are not sure whether you qualify, Direct Mortgages Wollongong will help you assess your eligibility and determine whether this strategy is right for you.
Is It Worth It?
For many first home buyers, absolutely. The Super Saver Scheme offers several benefits:
You save faster due to lower tax on contributions
Your deposit stays separate from your regular bank account
Your savings have the potential to grow through investment returns
Of course, it is not suitable for everyone. That is why Direct Mortgages Wollongong starts with a personal consultation to understand your goals and see if the scheme aligns with your financial plans.
How Direct Mortgages Wollongong Can Help
When you work with Direct Mortgages Wollongong, you gain access to:
Friendly, jargon-free advice about home loans and government schemes
A deep understanding of how the FHSSS works and how to use it strategically
Access to over 40 lenders and customised loan solutions
Help combining the FHSSS with other incentives, like the First Home Owner Grant or First Home Guarantee
We are local, experienced, and fully focused on helping first home buyers in Wollongong and the Illawarra region succeed.
Ready to Get Started?
Saving for your first home may feel like a long journey, but with the right tools and the right support, you can reach your goal faster. The First Home Super Saver Scheme could be a valuable part of your strategy, and Direct Mortgages Wollongong is here to help you make the most of it.
Get in touch today to learn how the scheme works, how much you could save, and what your next steps should be. Your first home might be closer than you think.