First Home Loan Deposit Scheme

FACT SHEET 2021-2022

Who is eligible for the Scheme?

• Australian citizens who are at least 18 years of age.

Permanent residents are not eligible.

• Single applicants with a taxable income of up to

$125,000 per annum for the previous financial year

and couples with a taxable income of up to $200,000

per annum for the previous financial year. For all

parent/child or friends, are not eligible for the

Scheme.

• The Scheme assists single (individual) applicants and

per cent or more is saved, then the home loan will not

• Loans under the Scheme require scheduled

repayments of the principal and interest of the loan

for the full period of the agreement (with limited

previously owned, or had an interest in, a property in

Australia, either separately or jointly with someone

else (this includes residential strata and company title

properties).

• an existing house, townhouse or apartment

• a house and land package

• land and a separate contract to build a home

• an off-the-plan apartment or townhouse.

administered by the National Housing Finance and

Investment Corporation (NHFIC).

Usually first home buyers with less than a 20 per cent

deposit need to pay lenders mortgage insurance. Under

the Scheme, eligible first home buyers can purchase a

modest home with a deposit of as little as 5 per cent

(lenders criteria apply). This is because NHFIC guarantees

to a participating lender up to 15 percent of the value of

the property purchased that is financed by an eligible first

home buyer’s home loan.

programs like the First Home Super Saver Scheme,

HomeBuilder grant or state and territory first home owner

grants and stamp duty concessions. The guarantee is not a

cash payment or a deposit for your home loan.

For a property to be eligible it must be a 'residential

property' - this term has a particular meaning under the

Scheme, and participating lenders can assist if there is

any doubt. Eligible residential properties include:

Find out more about the eligibility criteria at:

more expensive than other regional areas.

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Eligible first home buyers can apply for the Scheme

through a participating lender. The full list of

participating lenders is at: www.nhfic.gov.au/what-

we-do/fhlds/how-to-apply

There are no costs or repayments associated with

lenders from 1 July 2021.

• NHFIC will not accept applications directly and

does not maintain a waiting list for places under

the Scheme.

What property price thresholds apply?

The Scheme assists in the purchase or construction

- - $400,000