First Home Buyer 5% Deposit Scheme
Buying your first home can feel overwhelming, especially when you’re trying to save a large deposit. The Australian Government’s 5% Deposit Scheme is designed to make that journey easier for first home buyers by allowing eligible individuals to enter the market with as little as a 5% deposit and no Lenders Mortgage Insurance (LMI). This can significantly reduce your saving timeline and upfront costs, helping you move into a home of your own sooner than you expected. With no income caps, unlimited places, and no waiting lists, the scheme is accessible for more Australians who are ready to take the next step towards home ownership.
What I love about this scheme is its flexibility. You’re not limited to one type of property — you can choose from established homes, townhouses, apartments, house and land packages, off-the-plan purchases, or even vacant land with a building contract, as long as the property falls within the location-specific price caps. The government provides a guarantee to participating lenders so they can offer loans up to 95% of the property’s value, giving first home buyers a clearer and more achievable pathway to securing their first home.
To use the scheme, you simply need to meet the eligibility criteria, have your 5% deposit saved, and apply through a participating lender. Once your loan is approved, you can start house hunting and move into your new home when you’re ready. While the scheme is straightforward in theory, every lender has different policies, borrowing assessments, and lending limits, which is where working with a mortgage broker can simplify the process. I help you check your eligibility, compare lenders who offer the scheme, understand your borrowing capacity, and ensure your application is correctly set up from the start. This takes the guesswork out of the process and gives you clarity and confidence as you move towards home ownership.
If you’re curious about whether you’re eligible or how this scheme might work with your budget and goals, I can walk you through everything step-by-step. My role is to make the process simple, clear, and supportive, so you can focus on getting excited about your first home rather than worrying about the paperwork.
*Information sourced from https://firsthomebuyers.gov.au/australian-government-5-percent-deposit-scheme and correct as of December 2025.
What next?
If you’re feeling ready to explore your options, I’d love to help. Booking an appointment is the easiest way to get personalised guidance on your eligibility, your borrowing capacity and what steps to take next. Let’s chat about your goals and start mapping out a clear path toward your first home.
Property Price Caps for 5% Deposit Scheme
Regional centres for First Home Buyers are (1) in New South Wales - Illawarra, Newcastle, and Lake Macquarie, (2) in Victoria - Geelong, and (3) in Queensland - Gold Coast and Sunshine Coast, all vital locations for achieving home ownership.
Images sourced from https://firsthomebuyers.gov.au/australian-government-5-percent-deposit-scheme/property-price-caps, reflecting the opportunities for First Home Buyers and promoting home ownership, and correct as of 12.12.2025.