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First Home Guarantee
Own your home sooner – with as little as a 5% deposit.
If saving a full deposit has been holding you back, the First Home Guarantee – part of the Australian Government’s 5% Deposit Scheme – could help you buy your first home sooner.
Changes to the First Home Guarantee
From 1 October 2025, the government expanded and simplified the program, opening unlimited places and increasing property price caps across Australia.
This means eligible first-home buyers can now purchase a property with as little as a 5% deposit — and avoid paying Lenders Mortgage Insurance (LMI), saving thousands upfront.
Read more about the Australian Government 5% Deposit Scheme →
How it works
Instead of waiting years to save a 20% deposit, the government guarantees part of your loan. This allows lenders to approve your application with a smaller deposit while keeping repayments manageable.
Depending on your circumstances, the minimum deposit may be:
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5% for eligible first-home buyers
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2% for eligible single parents or legal guardians
The scheme applies to both new and existing homes, giving more Australians a chance to enter the market faster
Benefits at a glance
✅ Buy with as little as 5% deposit
✅ No LMI — save up to $30,000 in upfront costs
✅ Unlimited places available from 1 October 2025
✅ Higher property price caps — Adelaide metro up to $900,000, regional SA up to $500,000
✅ Available to Australian citizens and permanent residents
How Henley Home Loans can help
At Henley Home Loans, our brokers work for you to compare over 40 lenders and help you:
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Find a participating lender under the First Home Guarantee
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Understand your borrowing power and repayments
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Get pre-approved so you can make offers with confidence
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Manage the paperwork and stay supported through to settlement
We’ll handle the legwork while you focus on finding your first home.
Next steps
1️⃣ Book your free chat — talk to a local broker about your goals.
2️⃣ Check your eligibility for the First Home Guarantee.
3️⃣ Get pre-approved and start house-hunting with confidence.
Disclaimer
Any advice contained in this page is of a general nature only and does not take into account your personal objectives, financial situation or needs. Before making any decision, you should consider the appropriateness of the advice with regard to those matters. Information is correct as of October 2025 and is subject to change. For full details, visit Housing Australia
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