A scheme that will see the Federal Government support 10,000 first-home buyers has been approved.

The National Housing Finance and Investment Corporation Amendment Bill 2019 – introduced to the House of Representatives and the Senate in September – was finally passed by both houses this week.

In a joint statement, Minister for Housing Michael Sukkar and Treasurer Josh Frydenberg said the passage means “first-home buyers will be able to enter the property market sooner”.

The Scheme would see eligible first-home buyers who are on low and middle incomes purchase a house with a deposit as low as 5%.

The Federal Government says: “The Government recognises that saving a deposit has become a more significant barrier to entering the housing market. It can take 10 years for the average first-home buyer to save a 20% deposit. The Scheme will support 10,000 first-home buyers each financial year.”

The scheme is open to eligible applicants who have taxable incomes up to $125,000 a year for singles and up to $200,000 a year for couples.

Builders have welcomed the initiative, says Denita Wawn, CEO of Master Builders Australia.