5% Deposit Scheme

5% Deposit Scheme. The Australian Government 5% Deposit Scheme is designed to help first home buyers get into the market sooner — with as little as a 5% deposit. Under the Scheme, the Government provides a guarantee to participating lenders so you can secure a loan covering up to 95% of the property value without paying Lenders Mortgage Insurance (LMI). How It Works Save a minimum deposit of 5%. Apply through a broker or lender — lenders authorised to offer the Scheme. The Government provides a guarantee to the lender for the remainder of the deposit (up to 15%). You get into your new home sooner and with fewer upfront costs. There’s also a 2% deposit option for eligible single parents/guardians — enabling even earlier entry into home ownership. Benefits for First Home Buyers Lower deposit requirement – Only 5% needed to qualify. Avoid costly LMI fees – The government guarantee removes the need for LMI in most cases. Australian Government 5% Deposit Scheme – Buy Sooner with a Small Deposit.   First Home buyers minimum with 5% deposit Single parents or legal guardians minimum of 2% deposit Who Can Apply? Australian citizens or permanent residents, aged 18+ First home buyers (or those who have not owned property in the last 10 years) Buying a property at or below the local property price caps Planning to live in the property as your principal place of residence 👉 Official 5% Deposit Scheme info: https://firsthomebuyers.gov.au/australian-government-5-percent-deposit-scheme These programs are powerful tools to help first home buyers enter the market earlier and with more confidence. Each scheme has unique eligibility rules and ongoing obligations — and often lenders participate differently — so professional mortgage advice is essential to decide which option (or combination of schemes) is right for your situation. Disclaimer: The content above is intended for general informational purposes only. It does not constitute financial, taxation or legal advice. Contact us