Document ID: chunk:federal_register_of_legislation:F2024C01285:reg:29i:p1
Version: federal_register_of_legislation:F2024C01285
Segment Type: reg
Provision Reference: reg 29I (pt 1/2)
Character Range: 99164–101919

29I  First home guarantees

Limit on guarantees in a financial year
 (1) For each financial year, Housing Australia must not issue more than the number of guarantees worked out under subsection (2).
 (2) The limit on the number of guarantees for a financial year is the sum of:
 (a) 35,000; and
 (b) the number of unissued guarantees from the previous financial year determined by the Minister under subsection (3).
 (3) The Minister may determine, in a written notice given to Housing Australia, that any unissued guarantees covered by subsection (5) in a financial year may be issued in the following financial year.
 (4) The power in subsection (3) applies to unissued guarantees from the 2019-20 financial year.
 (5) For subsection (3), the unissued guarantees in a financial year are the number of unissued guarantees from the limit set out in paragraph (2)(a).
 (6) In making a determination under subsection (3), the Minister must take into account the performance of the First Home Guarantee, and any unique circumstances influencing the uptake of guarantees under the First Home Guarantee.
 (7) The total number of guarantees issued to major banks in the 2021-22 financial year or an earlier financial year must not exceed:
 (a) 17,500; and
 (b) if a determination has been made under subsection (3)—50 per cent of the guarantees covered by that determination.

Additional guarantees for the 2021-22 financial year
 (7A) Despite subsections (2) and (7), for the 2021-22 financial year:
 (a) the limit on the number of guarantees for that year is 14,651; and
 (b) the total number of guarantees issued to major banks for that year must not exceed 7,325.

Housing Australia must notify Minister
 (8) On the 100th day after the end of a financial year (or as otherwise directed by the Minister in writing), Housing Australia must notify the Minister, in writing, of the number of guarantees that were unissued in the financial year.
 (9) The notice under subsection (8) must include a detailed breakdown of the unissued guarantees as assessed at the time of the notice, including:
 (a) the number that were unissued; and
 (b) whether the unissued guarantees related to a major bank or other eligible lender; and
 (c) whether the unissued guarantees are reserved, or lapsed or expired; and
 (d) any other information requested in writing by the Minister.

Counting of guarantees
 (10) For the purposes of this section:
 (a) subject to subsection (11), a guarantee is issued in the financial year during which its issue is approved by Housing Australia, even if the arrangement relating to the guarantee is entered into in a later financial year; and
 (b) a guarantee issued in relation to a loan that satisfies subsection 29C(4) is disregarded.
 (11)