Australian Government 5% Deposit Scheme

Supporting first home buyers and single parents on their journey to home ownership with lower deposit solutions.

What is the Australian Government 5% Deposit Scheme?

A 5% deposit could be all you need to get into your first home.

The Australian Government's 5% Deposit Scheme helps eligible first home buyers purchase a home sooner with a smaller deposit, making the path to home ownership more achievable.

We'll help you determine whether you're eligible, explain how the scheme works, and guide you through the entire process so you can buy with confidence. While the scheme can reduce the deposit needed, other costs such as stamp duty, conveyancing and property inspections may still apply.

How the 5% Deposit Scheme Could Help You Buy Sooner

The Australian Government's 5% Deposit Scheme is designed to make home ownership more accessible for eligible first home buyers. Key benefits include:

  • Buy with as little as a 5% deposit – Get into your first home sooner without needing a large deposit.

  • No income caps – Your income alone won't prevent you from accessing the scheme (eligibility criteria still apply).

  • No Lenders Mortgage Insurance (LMI) – Save thousands by avoiding the cost of LMI.

  • Choose the home that's right for you – Eligible properties include established homes, new builds, apartments, townhouses, house and land packages, off-the-plan properties, and vacant land with a building contract (subject to property price caps).

  • Government-backed guarantee – The Australian Government guarantees part of your loan, helping eligible buyers purchase with a lower deposit.

  • No application caps or waiting lists – If you're eligible, you can apply whenever you're ready.

Not sure if you qualify? We'll help you understand the eligibility requirements and guide you through the process from start to finish.

Am I Eligible?

You may be eligible for the Australian Government Home Guarantee Scheme if you meet the following criteria:

  • You're an Australian citizen or permanent resident and are at least 18 years of age.

  • You've saved the minimum required deposit—from 5% for eligible first home buyers or 2% for eligible single parents or legal guardians, depending on the scheme.

  • For first home buyers: You haven't owned or had an interest in residential property or land in Australia within the past 10 years. You can apply individually or with one other eligible applicant, such as your partner, a family member or a friend.

  • For eligible single parents or legal guardians: You have at least one dependent child and are applying on your own. You may have previously owned property, provided you won't have an ownership interest in another property once your new home settles.

  • You'll live in the property as your principal place of residence. The scheme isn't available for investment properties.

  • You're applying for an eligible owner-occupier home loan with principal and interest repayments through a participating lender. Loan terms can be up to 30 years (with additional time available for eligible new builds).

  • The property you're purchasing is located in Australia and falls within the applicable property price cap for its location.

Not sure whether you qualify? We can assess your eligibility, explain your options, and help you find the right pathway to home ownership.

Eligible Property Types

You can use the scheme to purchase a variety of property types, including:

  • Established houses, townhouses, or apartments

  • House and land packages

  • Vacant land with a separate contract to build a home

  • Off-the-plan apartments or townhouses

This gives you flexibility to choose a property that suits your lifestyle, budget, and long term goals.

Property Price Caps

The Home Guarantee Scheme has property price caps that vary depending on the state or territory where you’re buying. These caps apply equally to eligible first home buyers and single parents or legal guardians.

To check the maximum property price for your preferred area, you can use the official postcode search tool.

Price caps are subject to change, so it’s important to confirm the latest figures before making a purchase decision. We can also help you check what price range applies to your chosen suburb and guide you through your options.

Below are the current price caps by location:

Table listing Australian states with their respective capital city and regional center, along with other areas' monetary values. The states listed are NSW, ACT, QLD, VIC, SA, WA, TAS, and NT.