Whether you’re buying or building your first home, the experience can be a daunting one, as it’s probably one of the biggest purchases you’ll ever make.
To support you in your first home buyer journey, there are several types of support from the Australian Government that you may be eligible for. Both the First Home Guarantee (FHBG) and Regional First Home Buyer Guarantee (RFHBG) provide an assurance to Participating Lenders that allow you to purchase your first home sooner, with a deposit of as little as 5% and without having to pay Lenders Mortgage Insurance. This is because Housing Australia guarantees the difference between the borrower’s deposit of at least 5% and 20% of the value of the eligible property.
If you are eligible for the Regional First Home Buyer Guarantee you are not eligible for the First Home Guarantee. Home buyers who are not eligible for the RFHBG, may be eligible for the First Home Guarantee or the Family Home Guarantee (FHG). To help you work out which Guarantee you may be eligible for, try the Eligibility Tool on the Housing Australia website.
To help minimise your research time we have summarised the opportunities below that could help you with your first home experience.
Check your Government Guarantee eligibility
| An owner occupied home loan paid on a principal and interest basis must be entered into. Investment properties are not supported. | 18+ Australian Citizen or Permanent Resident | Must be able to provide 2022-23 Notice of Assessment issued by the ATO to reserve a place in the Guarantee. |
| Singles with a taxable income of up to $125,000 p.a and joint applicants* with a combined taxable income of up to $200,000 p.a for the previous financial year. | Applicants must have a minimum 5% deposit, and can include first home buyers or previous home owners.~ | Your maximum property purchase price will be restricted by the suburb and postcode.** |
| Regional Home Buyer Guarantee applicants (or at least one applicant if applying jointly) who have lived in the regional area or adjacent regional area they are purchasing in for the preceding 12-month period to the date they execute the home loan agreement.^ | Applicants who intend to be owner-occupiers of the purchased property.^ |
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* Joint applicants may apply for the First Home Guarantee and Regional First Home Buyer Guarantee. Joint applicants may include partners, friends, siblings, and other relatives.
~ Previous homeowners are defined as those who haven’t owned a property in the ten years prior to the date they execute their home loan. Prior property ownership includes a freehold interest in real property in Australia (this includes owning land only), an interest in a lease of land in Australia with a term of 50 years or more, or a company title interest in land in Australia.
** To find out the property price threshold of a suburb you a looking to buy in you can try the Housing Australia tool.
^ Australian Defence Force applicants may be eligible for a partial exemption and should check with their participating lender if this applies.
Fact sheets and detailed eligibility criteria
For detailed eligibility criteria review the Regional First Home Buyer Guarantee and First Home Guarantee fact sheets or use the handy comparison table to determine which option you may be eligible for.
Information guides
There are no costs or repayments associated with the Guarantee. However, first home buyers are responsible for meeting all costs and repayments for the home loan associated with the guarantee.
Eligible property types
If you are a first home buyer and also a single parent or eligible single legal guardian, the Family Home Guarantee could also be an option for you.
Family Home Guarantee (FHG)
Saving to purchase a family home can be a challenging task, especially when you are a single parent or single legal guardian.
The Family Home Guarantee is for eligible single parents and eligible single legal guardians of at least one dependent, such as aunts, uncles or grandparents. Applicants can include those who are not first home buyers.
The purpose of the Family Home Guarantee is to support eligible single parents and eligible single legal guardians to buy a home. It does this by allowing Housing Australia to issue 5,000 guarantees each financial year to eligible single parents and eligible single legal guardians with a deposit of between 2 and 20 per cent of the property value.
Applicants can have previously owned a home and still be eligible provided they no longer have an invested interest in the property.
As a first home buyer you may also be eligible for other government support programs like the First Home Super Saver Scheme, state and territory First Home Owner Grants, and stamp duty concessions.
Before acquiring the product, the information above should be read in conjunction with the following documents to determine if the product is right for you: Target Market Determination; Home Loan brochure; Account and Access Facility Conditions of Use; Fees and Charges brochure; Loan Interest Rate Schedule; and Credit Guide.