Aug 26, 2025

Big win for First Home Buyers: Unlimited places and higher price caps from 1 October 2025

Big win for First Home Buyers: Unlimited places and higher price caps from 1 October 2025

Big win for First Home Buyers: Unlimited places and higher price caps from 1 October 2025

From 1 October 2025, the Australian Government will introduce the most significant expansion yet to the Home Guarantee Scheme (HGS) a program designed to help Australians purchase their first home sooner.

From 1 October 2025, the Australian Government will introduce the most significant expansion yet to the Home Guarantee Scheme (HGS) a program designed to help Australians purchase their first home sooner.

The changes mean first-home buyers will no longer need to wait for limited spots, worry about income thresholds or struggle against outdated property caps. Instead, with as little as a 5% deposit, eligible buyers can enter the market while avoiding the hefty cost of Lenders Mortgage Insurance (LMI).

What’s changing?

Here’s what the new scheme will look like from 1 October 2025:

  • Unlimited places – every Australian first-home buyer who meets basic requirements can apply.

  • No income caps – higher-income earners are no longer excluded.

  • Increased property price caps – adjusted to reflect today’s market conditions (see table below).

  • Streamlined access in regional areas – the Regional First Home Buyer Guarantee will be replaced with the First Home Guarantee.

  • Continued property support – the scheme will still apply to new or existing residential properties, house and land packages, vacant land with a separate building contract and off-the-plan apartments or townhouses.

This expansion builds on the government’s promise to support more Australians into home ownership while tackling affordability challenges.

Why does this matter?

For many Australians, saving a 20% deposit can take close to a decade. Under the expanded scheme:

  • Buyers can purchase with just 5% deposit.

  • They will save thousands in LMI costs – government estimates suggest around $1.5 billion in LMI savings in the first year alone.

  • For example, a buyer in Brisbane could purchase a $1 million home with a $50,000 deposit, saving about $42,000 in LMI and cutting years off their saving timeline.

Housing industry leaders have welcomed the move, noting that more than 210,000 Australians have already purchased homes through the Scheme since its introduction.

Property Price Caps – Effective 1 October 2025

What are the concerns?

While the expansion has been widely welcomed, some experts caution that removing income caps and opening the scheme to all buyers could increase competition, potentially pushing property prices even higher – particularly at a time of housing shortages.

Critics have also argued that the scheme might benefit wealthier buyers who could otherwise purchase without government support.

How to apply?

From 1 October 2025, the process will be simple:

  1. Check eligibility via the Home Guarantee Scheme tool.

  2. Review the new property price caps in your area. (find details in the below).

  3. Apply through a Participating Lender – over 30 lenders nationwide, including major and customer-owned banks, are available.

  4. Secure pre-approval.

  5. Find your new dream home!

To find out more about the Scheme, visit the Housing Australia website here.

Next steps for buyers

The expansion of the Home Guarantee Scheme marks a game-changer for first-home buyers in Australia. With unlimited spots, no income restrictions and higher property caps, more people will finally have the opportunity to step into the property market without years of waiting and saving.

At Select Loan and Mortgage, we work with leading lenders across Australia to guide you through the process and help you access the scheme. If you are planning to buy your first home after 1 October 2025, now is the time to prepare.

📞 Get in touch with us today to discuss your options and get ready to make the most of this exciting opportunity. Link

To read the Australian Government announcement, click here

Ready to Get Your Dream Home With Us.

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© 2024 Select Loan and Mortgage. All rights reserved.

Select Loan and Mortgage Pty Ltd | Credit Representative Number 563198 is authorized under Australian Credit License 389328 | 86 680 285 143 |

This page provides general information only and has been prepared without taking into account your objectives, financial situation or needs. We recommend that you consider whether it is appropriate for your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. It does not constitute legal, tax or financial advice and you should always seek professional advice in relation to your individual circumstances.

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Ready to Get Your Dream Home With Us.

logo-01.svg

Select Loan & Mortgage is a one-stop solution for home loan consulting services in Australia. 

Select Loan & Mortgage

Our Team

Our Lenders

Contact us

Home Loan Calculators

Mortgage Repayment Calculator

Refinance Calculator

Contact

Resources

Article

Blogs

Contact us

ABN: 86 680 285 143

ACN: 680 285 143

Address: Level 10, 90 King William Street Adelaide SA 5000

Email: info@selecthomeloan.com.au

Contact :0489 922 603


© 2024 Select Loan and Mortgage. All rights reserved.

Select Loan and Mortgage Pty Ltd | Credit Representative Number 563198 is authorized under Australian Credit License 389328 | 86 680 285 143 |

This page provides general information only and has been prepared without taking into account your objectives, financial situation or needs. We recommend that you consider whether it is appropriate for your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. It does not constitute legal, tax or financial advice and you should always seek professional advice in relation to your individual circumstances.

Privacy Policy

Terms of Service

Ready to Get Your Dream Home With Us.

logo-01.svg

Select Loan & Mortgage is a one-stop solution for home loan consulting services in Australia. 

Select Loan & Mortgage

Our Team

Our Lenders

Contact us

Home Loan Calculators

Mortgage Repayment Calculator

Refinance Calculator

Contact

Resources

Article

Blogs

Contact us

ABN: 86 680 285 143

ACN: 680 285 143

Address: Level 10, 90 King William Street Adelaide SA 5000

Email: info@selecthomeloan.com.au

Contact :0489 922 603


© 2024 Select Loan and Mortgage. All rights reserved.

Select Loan and Mortgage Pty Ltd | Credit Representative Number 563198 is authorized under Australian Credit License 389328 | 86 680 285 143 |

This page provides general information only and has been prepared without taking into account your objectives, financial situation or needs. We recommend that you consider whether it is appropriate for your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. It does not constitute legal, tax or financial advice and you should always seek professional advice in relation to your individual circumstances.

Privacy Policy

Terms of Service

Ready to Get Your Dream Home With Us.

logo-01.svg

Select Loan & Mortgage is a one-stop solution for home loan consulting services in Australia. 

Select Loan & Mortgage

Our Team

Our Lenders

Contact us

Home Loan Calculators

Mortgage Repayment Calculator

Refinance Calculator

Contact

Resources

Article

Blogs

Contact us

ABN: 86 680 285 143

ACN: 680 285 143

Address: Level 10, 90 King William Street Adelaide SA 5000

Email: info@selecthomeloan.com.au

Contact :0489 922 603


© 2024 Select Loan and Mortgage. All rights reserved.

Select Loan and Mortgage Pty Ltd | Credit Representative Number 563198 is authorized under Australian Credit License 389328 | 86 680 285 143 |

This page provides general information only and has been prepared without taking into account your objectives, financial situation or needs. We recommend that you consider whether it is appropriate for your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. It does not constitute legal, tax or financial advice and you should always seek professional advice in relation to your individual circumstances.

Privacy Policy

Terms of Service

Ready to Get Your Dream Home With Us.

logo-01.svg

Select Loan & Mortgage is a one-stop solution for home loan consulting services in Australia. 

Select Loan & Mortgage

Our Team

Our Lenders

Contact us

Home Loan Calculators

Mortgage Repayment Calculator

Refinance Calculator

Contact

Resources

Article

Blogs

Contact us

ABN: 86 680 285 143

ACN: 680 285 143

Address: Level 10, 90 King William Street Adelaide SA 5000

Email: info@selecthomeloan.com.au

Contact :0489 922 603


© 2024 Select Loan and Mortgage. All rights reserved.

Select Loan and Mortgage Pty Ltd | Credit Representative Number 563198 is authorized under Australian Credit License 389328 | 86 680 285 143 |

This page provides general information only and has been prepared without taking into account your objectives, financial situation or needs. We recommend that you consider whether it is appropriate for your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. It does not constitute legal, tax or financial advice and you should always seek professional advice in relation to your individual circumstances.

Privacy Policy

Terms of Service

Ready to Get Your Dream Home With Us.

logo-01.svg

Select Loan & Mortgage is a one-stop solution for home loan consulting services in Australia. 

Select Loan & Mortgage

Our Team

Our Lenders

Contact us

Home Loan Calculators

Mortgage Repayment Calculator

Refinance Calculator

Contact

Resources

Article

Blogs

Contact us

ABN: 86 680 285 143

ACN: 680 285 143

Address: Level 10, 90 King William Street Adelaide SA 5000

Email: info@selecthomeloan.com.au

Contact :0489 922 603


© 2024 Select Loan and Mortgage. All rights reserved.

Select Loan and Mortgage Pty Ltd | Credit Representative Number 563198 is authorized under Australian Credit License 389328 | 86 680 285 143 |

This page provides general information only and has been prepared without taking into account your objectives, financial situation or needs. We recommend that you consider whether it is appropriate for your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. It does not constitute legal, tax or financial advice and you should always seek professional advice in relation to your individual circumstances.

Privacy Policy

Terms of Service

Ready to Get Your Dream Home With Us.

logo-01.svg

Select Loan & Mortgage is a one-stop solution for home loan consulting services in Australia. 

Select Loan & Mortgage

Our Team

Our Lenders

Contact us

Home Loan Calculators

Mortgage Repayment Calculator

Refinance Calculator

Contact

Resources

Article

Blogs

Contact us

ABN: 86 680 285 143

ACN: 680 285 143

Address: Level 10, 90 King William Street Adelaide SA 5000

Email: info@selecthomeloan.com.au

Contact :0489 922 603


© 2024 Select Loan and Mortgage. All rights reserved.

Select Loan and Mortgage Pty Ltd | Credit Representative Number 563198 is authorized under Australian Credit License 389328 | 86 680 285 143 |

This page provides general information only and has been prepared without taking into account your objectives, financial situation or needs. We recommend that you consider whether it is appropriate for your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. It does not constitute legal, tax or financial advice and you should always seek professional advice in relation to your individual circumstances.

Privacy Policy

Terms of Service

Ready to Get Your Dream Home With Us.

logo-01.svg

Select Loan & Mortgage is a one-stop solution for home loan consulting services in Australia. 

Select Loan & Mortgage

Our Team

Our Lenders

Contact us

Home Loan Calculators

Mortgage Repayment Calculator

Refinance Calculator

Contact

Resources

Article

Blogs

Contact us

ABN: 86 680 285 143

ACN: 680 285 143

Address: Level 10, 90 King William Street Adelaide SA 5000

Email: info@selecthomeloan.com.au

Contact :0489 922 603


© 2024 Select Loan and Mortgage. All rights reserved.

Select Loan and Mortgage Pty Ltd | Credit Representative Number 563198 is authorized under Australian Credit License 389328 | 86 680 285 143 |

This page provides general information only and has been prepared without taking into account your objectives, financial situation or needs. We recommend that you consider whether it is appropriate for your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. It does not constitute legal, tax or financial advice and you should always seek professional advice in relation to your individual circumstances.

Privacy Policy

Terms of Service