Rate rises could spell disaster for homeowners on 5% Deposit Scheme, argues broker Joseph Daoud
Broker, economist and mathematician Joseph Daoud is worried that what looks like a shortcut into the housing market could quickly turn sour for first-home buyers.
In this special episode of MPA Pod, released on the day of the Reserve Bank of Australia (RBA)’s latest interest rate decision, the founder of Sydney brokerage It’s Simple Finance explains why he believes the recent expansion to the 5% Deposit Scheme has gone too far.
Daoud argues that dramatically higher price caps and the removal of income limits have “opened the floodgates” in an already undersupplied market, pushing prices higher at the very point policymakers claim to be helping entry-level buyers.
But is it all a big vote grab, or is there logic to Labor’s cornerstone housing policy?
Daoud also discusses the challenges self-employed borrowers face, noting that complex income structures, changing tax rules and shifting bank policies continue to make small business owners one of the most resource‑intensive – and misunderstood – customer segments.
Listen now to hear Daoud’s full critique of the 5% deposit scheme, and his forecast ahead of this afternoon’s RBA call.
