Where to put my first home savings?

[JUS085]

Hi guys,

I've been trying to get my first home for a while now but I think the price rises have put me on the back burner for a while now... Can anyone suggest a good place to park my savings while I build on them? I've heard there are a few who give you $850 if you deposite $5000 or more by june????

 

[tess85]

You're referring to the first home owner savers account, are you?
http://www.fido.gov.au/firsthomesaver

to me, the biggest restriction is that you HAVE to buy your home at least 4 or more years after opening your account.

 

[tobe]

use it for a deposit on an investment property in a cheaper area to the one you are looking at buying your home. Continue saving, add the tax benifits from negative gearing, and then after 12 months withdraw any equity growth to purchase your PPOR.

 

[shiftyphil]

You're referring to the first home owner savers account, are you?
http://www.fido.gov.au/firsthomesaver

to me, the biggest restriction is that you HAVE to buy your home at least 4 or more years after opening your account.

Not exactly.... you need to make deposits greater then $1000 in 4 different financial years. That can take far less time than 4 calendar years.

 

[tess85]

Sorry - it can take 2 years and 2 days if you time it right. But how many people do?

I know someone who opened one of these accounts and now wants to buy, so they face the prospect of having it swept to super.

 

[JUS085]

I was refering the saver acct, yes... I wouldnt mind something from a 12month period but the 2 years may be too long... I'm looking to invest so after 6months ( Im a first home buyer ) it'd be and IP..

 

[PeterC]

i had the same dilemma in feb, ended up sticking it in a term deposit 5.95% for 5 months, and i'll reevaluate in june. rest of money since then is just in a normal savings account (current 4.45% i think it was)

every other option required far too much of my time to 'get it right' and not lose money. and not complicate tax or anything else.