The Help to Buy scheme is a government initiative designed to make homeownership more accessible for many Australians. If you’re struggling to save a big deposit or your borrowing power is limited, this might be the helping hand you’ve been waiting for.
What is the Help to Buy Scheme?
How it works
Help to Buy is a federal government shared equity scheme. It means the government buys a share of your home with you.
They’ll contribute up to 40% of the price for a new home, or 30% for an existing home, which means you won’t need to borrow as much.
Even better, you’ll only need a 2% deposit to qualify, and you can avoid paying Lenders Mortgage Insurance (LMI) — a fee usually charged when your deposit is under 20%.
Since your loan is smaller, your monthly repayments will be lower, making it easier to manage.
The best part? You still get to live in your home and own most of it — and later on, you can choose to buy back the government’s share if you like.
When does it start?
Help to Buy will be managed by Housing Australia and will begin once the official Program Directions are in place. Currently, a start date for the program has not yet been confirmed.
Why it's a game-changer
If you've been locked out of the property market because of high prices or slow savings, this scheme could be your key in.
The main benefits include:
- Drastically reduced upfront costs
- Smaller home loans (and lower monthly repayments)
- Avoiding expensive LMI fees, even with a small deposit
- Getting into the market sooner, before prices climb even higher
Things to keep in mind
While the scheme is exciting, there are a few important details to know:
- The government will own a portion of your home. This means if you sell, the government is entitled to their share of the profits.
- There are limited spots available per year. So it’s first in, best dressed.
- Eligibility criteria and property price caps will apply, depending on your income, location, and property value.
More help for buyers
There’s never been a better time to combine support options. In Australia, first home buyers can also take advantage of:
- First Home Grant - available when buying or building a new home.
- Home Guarantee Scheme – buy with 5% deposit while avoiding lenders mortgage insurance.
- MWC $10,000 Deposit Boost – available as a gift when building with us, rebated from our commision with builders.
Want to learn more?
Whether you’re curious about Help to Buy or want to explore all your options, our team can walk you through it — step by step.
Get started todayWant to know more? Get your hands on our free info pack!