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Shared equity homes

Shared equity schemes are a great solution for home buyers looking to enter the property market sooner, with a smaller loan, less deposit and manageable repayments.

With a shared equity or help to buy scheme, the government essentially contributes to the purchase price of your home, in exchange for a share (co-ownership) in the property. This may be suitable if your borrowing capacity is limited for property in your desired area.

Victoria Homebuyer Fund

The Victorian State Government currently offers the Homebuyer Fund. Through this scheme, the government contributes a share of up to 25% towards your property. Buyers need to have at least 5% deposit and there's an income limit of $130,485 for singles, $208,775 for couples.

Help to Buy Scheme

Help to Buy is a national shared equity scheme that is expected to be available in late 2024. Through this scheme, the government contributes a share of up to 30% for existing homes, 40% for new homes. Buyers are likely to require at least 2% deposit, and income and property price caps will apply.

Quick facts

  • The scheme allows you to buy a home with a smaller loan and less deposit while also avoiding lenders mortgage insurance.
  • Your repayments will be more affordable and manageable than if you were to buy the property on your own. However, the government will essentially own a portion of your home. If you sell, they will take their percentage of the profit.
  • You're not charged interest for the governments portion and you can exit the program by either selling your property or repaying the Government’s contribution.
  • It's available to both first and non-first home buyers and it may allow you to buy property within an area that was previously beyond your budget if purchasing alone.

Understanding the property market and shared equity schemes can seem complicated. We can help you to navigate the process by connecting you to finance support and securing a suitable new home.