The Australian Government has expanded the First Home Loan Deposit Scheme (FHLDS) for a second year to support eligible first home buyers purchase a home sooner. It does this by providing a guarantee that will allow eligible first home buyers on low and middle incomes to purchase a home with a deposit of as little as 5 per cent. The Government has also expanded the property price caps as below:

  • WA Capital City: $500,000
  • WA Rest of State: $400,000

The FHLDS will provide an additional 10,000 first home loan guarantees each financial year. Eligible borrowers can use the guarantee in conjunction with other government programs like the First Home Super Saver, state and territory First Home Owner Grants and stamp duty concessions. It also guarantees no Lender Mortgage Insurance (LMI).

The guarantee is not a cash payment. The First Home Loan Deposit Scheme will be available on 1 July 2021.

Who is eligible for the Scheme?

  • Australian Citizens who are at least 18 years of age
  • Singles with a taxable income of up to $125,000 per annum and couples with a taxble income of up to $200,000 per annum
  • Couples are only eligible if they are married or in a de-facto relationship
  • Applicants must have a deposit pf between 5 and 20 per cent
  • For full details on who is eligible for the Scheme, please visit www.nhfic.gov.au/what-we-do/fhlds