Buying your first home is about to get a little easier. From 1 October 2025, the Australian Government is making some major changes to the Home Guarantee Scheme (HGS)—with the aim of helping more Australians into the property market sooner. Here’s what you need to know.
What’s Changing?
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No place limits – From October, there will be unlimited spots available. If you’ve saved at least a 5% deposit, you can apply—no more missing out if places “run out”.
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No income caps – First home buyers who have higher incomes will now be able to access the scheme, opening it up to more Australians who will buy their first home later on in their career.
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Higher property price caps – Price caps are increasing to reflect the rising cost of housing across the country. In some capital cities, the new caps are hundreds of thousands higher (see below for details).
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Simpler access for regional buyers – The current Regional First Home Buyer Guarantee will merge into the First Home Guarantee, making the process easier to navigate.
What Are the New Price Caps?
Here are some of the updated property price caps coming into effect:
How to Apply
From 1 October 2025, the process will be straightforward:
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Check your eligibility using the Home Guarantee Scheme tool.
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Confirm the property price cap for your area.
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You can contact your broker to help you with the previous two steps and choose a participating lender (there are more than 30 across Australia, from regional banks to the majors). Or you can contact a participating lender directly.
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The lender will submit your application to Housing Australia for approval.
A Note on Timing
It’s important to remember these changes don’t kick in until 1 October 2025. The Home Guarantee Scheme is still running today under the current criteria and price caps—so if you’re ready to buy now, you don’t need to wait.
This expansion of the Home Guarantee Scheme is a big step towards helping more Australians achieve the dream of home ownership. With unlimited places, higher price caps, and simpler rules, it could be the boost you (or someone you know) need to get your foot on the property ladder finally.
At Green Associates, we work with first home buyers every day—helping them navigate schemes like this, compare lenders, and find the right loan structure for their situation. If you’d like to explore how these changes could benefit you, we’d love to chat. Book a free meeting with our mortgage team here.
