First home buyer schemes in Australia: a plain-language guide for 2026

In 2026, Australian first home buyers have access to more government support than at any time in recent decades. The main federal schemes are: the Australian Government 5% Deposit Scheme (formerly the Home Guarantee Scheme, renamed and expanded in October 2025), the Help to Buy Scheme (shared equity, opened December 2025), the First Home Super Saver Scheme (super-based deposit help), and various state-based First Home Owner Grants and stamp duty concessions. Each has different eligibility rules, benefits, and application processes. Many can be stacked together. This guide walks through each scheme in plain language so you can see which ones apply to your situation.

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This post is part of the How to buy your first home in Australia: a woman's step-by-step guide. If you want the broader picture, start there.

The Australian first home buyer scheme landscape has changed significantly in the past two years. If the last time you looked into it was 2024, most of what you read is now out of date. If you saw content about the Home Guarantee Scheme, that scheme was renamed and expanded in October 2025.

Here's the current 2026 picture, plainly.

The Australian Government 5% Deposit Scheme

What it is: A government-backed home buying scheme that allows eligible buyers to purchase with a smaller deposit than would normally be required, without paying Lenders Mortgage Insurance.

Background: This scheme replaced and expanded the previous Home Guarantee Scheme on 1 October 2025. The name changed, income caps were removed, waitlists were removed, and the scheme opened to previous homeowners (not just first-time buyers).

Deposit required:

• 5 percent for eligible first home buyers
• 2 percent for eligible single parents and legal guardians

Key eligibility:

• Australian citizen or permanent resident
• Aged 18 or over
• Property price within the scheme's price caps (varies by location)
• Intending to live in the property as owner-occupier
• For the single parent stream: at least one dependent child
• Previous homeowners are now eligible (October 2025 change)
• No income caps (October 2025 change)
• No waitlists (October 2025 change)

How to access it: Through a Participating Lender. Not applied for through Housing Australia directly. A mortgage broker can identify which Participating Lender suits your situation and submit the application.

Cost: No fee for the scheme itself. Loan interest rates through Participating Lenders are typically the same as their standard first home buyer rates.

Where to check details: firsthomebuyers.gov.au

The Help to Buy Scheme

What it is: A shared equity scheme where the federal government takes an equity share in your home, reducing the amount you need to borrow.

How it works:

• The government contributes up to 30 percent of the purchase price (existing homes) or 40 percent (new builds)
• You buy the remaining share and take out a home loan for that amount
• You still need a deposit (minimum 2 percent)
• No LMI applies
• When you sell, the government's share is repaid, plus their share of any capital gains

Key eligibility:

• Australian citizen
• Aged 18 or over
• Individual annual income up to $90,000, or joint income up to $120,000 (subject to review)
• Property price within scheme caps (varies by location)
• Intending to live in the property as owner-occupier
• Meeting specific asset and residency requirements

When it opened: Applications opened December 2025.

When it makes sense: For buyers whose borrowing capacity doesn't quite reach the property they need, or who want to reduce their mortgage burden significantly. Particularly useful for lower-income first home buyers.

Trade-off: You share the capital gain with the government proportionally. If your home doubles in value, you keep more than half but not all.

Where to check details: firsthomebuyers.gov.au/help-to-buy

The First Home Super Saver Scheme (FHSSS)

What it is: A scheme that lets you make voluntary contributions to your super and later withdraw them (plus earnings) to help fund your first home deposit.

How it works:

• Make voluntary super contributions (up to $15,000 per year, up to $50,000 total)
• Contributions are taxed at 15 percent in super (concessional rate, usually less than your marginal rate)
• When ready to buy, apply to release the contributions plus deemed earnings
• Use the released funds toward your first home deposit

Key eligibility:

• Australian citizen or permanent resident
• Aged 18 or over
• Have not previously owned property in Australia
• Have not previously requested a release under FHSSS

When it makes sense: For higher-income earners, the tax benefit of contributing to super (15% tax) rather than saving after-tax income (marginal rate 30-45%) is significant. For lower-income earners, the benefit is smaller.

Trade-offs:

• Money is locked in super until you're ready to buy (or you'd have to release it early through other means)
• Only voluntary contributions count, not employer super guarantee
• The release process takes weeks, so requires planning

Where to check details: ato.gov.au

State First Home Owner Grants (FHOG)

What it is: A state-based cash grant available to eligible first home buyers, typically for new homes only.

Amount: Varies by state. Common amounts are $10,000 to $30,000.

Eligibility: Varies significantly by state. Generally requires:

• Being a first home buyer (never previously owned property in Australia)
• Buying a new home (some states) or a substantially renovated home
• Property price below a specific cap
• Australian citizen or permanent resident
• Intending to live in the home for a minimum period (usually 6 to 12 months)

How to access it: Applied through your state or territory revenue office, usually at settlement.

Where to check details: Your state or territory revenue office website. The rules change from time to time, so use current sources rather than older articles.

State stamp duty concessions

What it is: Reductions or waivers of stamp duty for eligible first home buyers.

Examples (2026, but always verify current):

• NSW: First home buyers pay no stamp duty on homes up to $800,000 (established) or $1,000,000 (new)
• Victoria: First home buyers pay no stamp duty on homes up to $600,000 with concessions between $600,000 and $750,000
• Queensland: First home buyer stamp duty exemptions apply up to specific price caps
• Other states: Similar concessions with different caps

The savings can be substantial, often $10,000 to $30,000 or more depending on state and property price.

How to access it: Applied through your state revenue office at settlement. Your conveyancer will typically handle this.

Where to check details: Your state or territory revenue office. Rules change; use current sources.

Can I combine these schemes?

Yes, most of them can be combined:

• Australian Government 5% Deposit Scheme + First Home Owner Grant + Stamp Duty Concession: Very commonly stacked
• Help to Buy + Stamp Duty Concession: Compatible
• First Home Super Saver Scheme + any of the above: The FHSSS is compatible with all other schemes because it just changes how you fund the deposit
• Australian Government 5% Deposit Scheme + Help to Buy: Generally you'd use one or the other, not both, though the specific interaction has some nuance

A mortgage broker familiar with the schemes can walk you through the best combination for your specific situation. Not every scheme suits every buyer, and combining them requires careful planning.

Which scheme is right for me?

Rough guide:

Single parents: Australian Government 5% Deposit Scheme (2% deposit stream) is usually the first-choice option. May be combined with FHOG (if buying new) and stamp duty concession.

First home buyers with modest deposit: Australian Government 5% Deposit Scheme (5% deposit stream) is typically the best option for eligible buyers.

First home buyers with limited borrowing capacity: Help to Buy may be worth considering, particularly for lower-income earners buying in higher-cost areas.

Higher-income first home buyers: First Home Super Saver Scheme may add real value on top of standard schemes.

Buyers in most states: Check stamp duty concessions, which apply automatically for eligible buyers below price caps.

Buyers of new homes: Check FHOG in your state, which typically applies only to new or substantially renovated properties.

Frequently asked questions

Do I need to apply for the Australian Government 5% Deposit Scheme separately?

No. You apply through a Participating Lender as part of your normal home loan application. There's no separate application through Housing Australia. Your mortgage broker or lender will handle the scheme paperwork within the home loan application.

Are there really no income caps on the scheme now?

Correct, since October 2025. Previously the scheme had income caps ($125,000 for singles, $200,000 for couples). Those caps were removed as part of the October 2025 changes. Eligibility now depends on the general criteria (citizenship, dependent child status for the single parent stream, etc.) rather than income limits.

Can I use the 5% Deposit Scheme if I've owned property before?

Yes, since October 2025. The scheme previously required buyers to be first home buyers only. That restriction was removed as part of the October 2025 changes. Previous homeowners re-entering the market (including separated women) can now use the scheme, subject to other eligibility criteria.

Do I need to be a first home buyer to get stamp duty concessions?

Depends on the state. Most state stamp duty concessions apply only to first home buyers. Some states have secondary concessions for other buyer categories. Check your state revenue office's current rules.

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This article is general information only and does not constitute financial, legal or tax advice. Please speak to a licensed financial adviser, solicitor and your accountant about your specific circumstances. Government scheme rules and price caps are subject to change. Always confirm current eligibility and details with a Participating Lender, your state revenue office, or via firsthomebuyers.gov.au before applying.

Rielle Berglund is a mortgage broker and the founder of Matilda Tree Finance. She works with Australian women navigating major financial transitions, including separation, divorce, terminal illness and bereavement. She is also the creator of Runa, a free financial literacy app built for exactly this stage of life.

Book a confidential conversation with Rielle at matildatreefinance.com.au or start with Runa, free, at runaapp.com.au.

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You may also find these helpful

• How to buy your first home in Australia: a woman's step-by-step guide
• How much deposit do you really need to buy your first home in Australia?
• Government help for single parents buying a home in 2026
• Help for First Home Buyers: Support Resources for Your Journey

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Sources and references

All scheme information in this article is drawn from official government sources:

• Australian Government 5% Deposit Scheme: firsthomebuyers.gov.au
• Help to Buy Scheme: firsthomebuyers.gov.au/help-to-buy
• Australian Taxation Office on First Home Super Saver Scheme: ato.gov.au

For state-specific schemes (First Home Owner Grants and stamp duty concessions), refer to your state or territory revenue office.