Limited places left in First Home Loan Deposit Scheme

Super low interest rates and government incentive schemes have made it a great year to be a first-home buyer in Australia, but those hoping to take advantage of the First Home Loan Deposit Scheme will need to get a wiggle on.

Figures released from the federal treasury show there are just 363 places still left in the scheme, which allows first-home owners to break into the market with a deposit of as little as 5 per cent and no need to pay lenders mortgage insurance.

Ten thousand places in the scheme were released at the start of this financial year, of which some 5332 buyers have already been able to use it to purchase a home, while a further 4305 have reserved their spots and are still looking for a home.

The scheme has so far been most popular amongst buyers in Sydney with 965 having already taken up spots, followed by Melbourne (823), Brisbane (763) and Perth (373).

More places available for those purchasing new builds

While the original places in the First Home Loan Deposit Scheme are almost gone, there are now an extra 10,000 spots available… but there’s a catch.

Those hoping to take up one of the new spots will need to use it towards purchasing a new build.

The extra spots were added as part of the 2020-2021 Federal Budget and apply to applications from 6 October until 30 June next year.

New property price caps apply under the extended scheme, with first-home buyers able to purchase homes valued up to $950,000 in Sydney, $850,000 in Melbourne, $650,000 in Brisbane and $550,000 in Perth, Adelaide, Hobart, Canberra and Darwin.

There are 27 lenders participating in the scheme, with Commbank and NAB being the two major banks taking part.

Further details about the First Home Loan Deposit Scheme can be found at

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