First Home Buyer Home Loans

There is no single figure. As a general guide, many lenders look for a deposit in the order of 20 percent of the purchase price to avoid Lenders Mortgage Insurance, with a smaller genuine-savings deposit often accepted where LMI applies. Where the deposit is below 20 percent, LMI is generally payable and the premium varies with the loan-to-value ratio, loan size and lender. Some buyers reduce or avoid LMI through a family-guarantee or pledge arrangement, or through a government scheme, but availability and conditions depend on the lender and your circumstances. Deposit requirements, acceptable deposit sources and LMI treatment vary by lender — we work through your position before any application.

Depending on the state or territory, your income, the property price and the current rules, first home buyers may be able to access the First Home Owner Grant, state stamp-duty concessions or exemptions, the Australian Government 5% Deposit Scheme (formerly the Home Guarantee Scheme), the First Home Super Saver scheme, Help to Buy — the Australian Government shared equity scheme, with applications open since 5 December 2025 — and other federal or state programs. These are general descriptions only — each scheme has its own eligibility criteria and settings, such as property price caps, that change over time. Eligibility is never guaranteed and depends on the current government criteria and your specific circumstances at the time you apply. We help you understand which schemes are worth investigating and how they interact with your deposit and lender choice; for grants and concessions you may also need to confirm eligibility with the relevant government body.

The Australian Government 5% Deposit Scheme — the renamed and expanded Home Guarantee Scheme, in force from 1 October 2025 — is a federal scheme under which Housing Australia guarantees part of an eligible first home buyer's loan to a participating lender, generally allowing a purchase with a minimum 5 percent deposit (2 percent for eligible single parents or legal guardians) without paying Lenders Mortgage Insurance. There are no income caps and no limit on the number of places, but property price caps apply by location, the home must be lived in as an owner-occupier, and applications are made through a participating lender rather than directly to Housing Australia. The guarantee protects the lender, not the borrower. This is a general description only — eligibility and conditions depend on the current government criteria and your circumstances at the time you apply, and eligibility is never guaranteed. We can explain how the scheme might fit your situation and coordinate an application with a participating lender where appropriate.

The First Home Super Saver (FHSS) scheme generally allows eligible first home buyers to make voluntary superannuation contributions and later apply to release a portion of those contributions, plus associated earnings, to help fund a home deposit, subject to caps — currently up to $15,000 of eligible voluntary contributions per financial year and $50,000 in total — withholding tax on the released amount and ATO determinations. This is a general description of how the scheme is designed to work — eligibility, the amounts that can be released and the tax treatment depend on the current rules and your circumstances. Because FHSS sits at the intersection of superannuation and lending, having a Chartered Accountant in the same practice means the contribution and release steps can be considered alongside your deposit and tax position. The figures here are a general guide only and current rules should be confirmed at the time you act.

Borrowing capacity is assessed by each lender against its own income assessment, expense verification, liability treatment and serviceability buffer (APRA-regulated lenders apply a buffer of at least 3 percentage points above the actual rate). Two lenders can reach materially different figures for the same applicant, and a scheme place or guarantor arrangement can change what is possible. We cannot promise an approval or a particular loan amount — that always depends on lender policy and your circumstances at the time of application. What we can do is model your position against the most-likely lenders before any formal application so you have realistic expectations and avoid unnecessary credit-file enquiries.

In most residential lending scenarios, the lender pays broker commission. We explain remuneration in our Credit Guide.