Labor Government announces reduced interest rate for the Keystart home scheme

18/2/01
Low to medium income earners are one of the first groups to benefit under the Labor Government with a reduced Keystart interest rate, Housing Minister Tom Stephens said today.
"Effective from March 1, interest rates will be reduced by 0.75 per cent from 8.25 per cent to 7.5 per cent," Mr Stephens said.
"On an average loan of $100,000, the reduced rate represents a saving of $49 per month.
"I am pleased that the Keystart loan scheme, which was introduced by the Labor Government in 1989, has and will continue to help many people into their own homes.
"One of the benefits of the Keystart loan scheme is that there are no hidden charges, no monthly fees and no mortgage insurance charges and this represents value for money for the people who need it the most.
"In addition, Keystart home owners benefited from a pegging of its lending rate late last year when all interest rates rose by more than 0.25 per cent.
"More than $3 billion has been provided to 36,000 Western Australian families through a Keystart home loan which has provided a springboard to home ownership."
Mr Stephens said that the new Government was committed to the Keystart loan scheme to provide equity in the home market place for lower income earners.
Media contact: Julie Cole 9213 6500