Why this matters:

LMI protects the bank, not you. It can cost $25,000 or more upfront depending on the property price and deposit. With the Scheme, the government guarantees 15–18% of your home loan.

This means you can:

• Buy with as little as 5% deposit (2% for single parents/guardians)
• Avoid paying LMI
• Enter the market sooner, especially when combined with other grants and incentives

Without the Scheme, your options are:

• Pay Lenders Mortgage Insurance
• Save a full 20% deposit (unrealistic for many buyers)
• Rely on a family guarantor (not everyone has this support)

To qualify for the Home Guarantee Scheme, you generally need to:

• Be at least 18 years old
• Be an Australian citizen or permanent resident
• Be a first home buyer, or not have owned property in Australia in the last 10 years (not applicable for single parents/guardians)
• Apply as an individual or with a partner, family member, or friend (all applicants must be eligible)
• Intend to live in the home as an owner-occupier

For full details, visit Housing Australia’s official guide here

Applications are only available through a participating lender or an authorised mortgage broker.

Our lending specialists can:

• Check your eligibility
• Combine the Scheme with other support like the First Home Owner Grant
• Add our own $10,000 Deposit Boost to make it even easier

The Home Guarantee Scheme has property price caps that vary by state and region. These caps set the maximum purchase price for eligible homes.

From 1 October 2025, the updated caps are:

• NSW – capital city & regional centre: $1,500,000
• NSW – other areas: $800,000
• VIC – capital city & regional centre: $950,000
• VIC – other areas: $650,000
• QLD – capital city & regional centre: $1,000,000
• QLD – other areas: $700,000

See the full list of price caps for every state and territory here