First-home plan doubts

FIRST-HOME buyers are unlikely to take up the new incentive to help save deposits quickly after a previous scheme failed miserably, industry experts say.

The Government has been criticised for its announcement that first-time buyers will be able to save a total of $30,000 each inside their super accounts and attract the tax advantages of superannuation.

Mortgage Choice chief executive officer John Flavell said it could well fail based on past experiences.

“The 2008 first home saver account had the ambitions of excellence but failed to launch,’’ he said. “I wouldn’t be surprised to see this latest ... scheme fail to takeoff.”

Home Loan Experts’ Otto Dargan added: “The new scheme has some great incentives but it doesn’t allow buyers to save a big enough deposit. “