FHBG
First Home Buyer Guarantee
A federal scheme letting eligible first home buyers purchase with just a 5% deposit without paying LMI.
Under the First Home Buyer Guarantee (part of the Home Guarantee Scheme run by Housing Australia), the federal government guarantees up to 15% of the property value so you avoid Lenders Mortgage Insurance with a deposit as low as 5%. Income caps apply ($125k single / $200k couple in FY2025–26) and property price caps vary by city and region. Places are capped each financial year.
How does the First Home Buyer Guarantee work?
The FHBG lets eligible first home buyers purchase with a 5% deposit without paying Lenders Mortgage Insurance. The federal government acts as guarantor for up to 15% of the property value through Housing Australia. Income and property price caps apply and places are limited each financial year.
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