Home Guarantee Scheme

Home Guarantee Scheme

40,000 Home Guarantee Scheme places are available for this financial year. The Scheme is an Australian Government initiative administered by the National Housing Finance and Investment Corporation (NHFIC) on behalf of the Government.

Note: This Scheme was formerly known as First Home Loan Deposit Scheme (FHLDS).

New Home Guarantee

The New Home Guarantee (NHG) is no longer available from 1 July 2022. An NHG place reserved on, or before 30 June 2022, will still be able to progress to settlement, subject to meeting eligibility criteria and NHG requirements and timelines.

For a Home Guarantee Scheme guarantee, you can check your eligibility on the NHFIC website. The following conditions will generally apply:

• Australian citizens who are at least 18 years of age. Permanent residents are not eligible
• Applicants must not have previously owned or had an interest in a residential property, either separately or jointly with someone else (this includes residential strata and company title properties, regardless of whether it was an investment or owner-occupied property and whether it was ever lived in). Family Home Guarantee applicants are allowed to have previously owned a home, however they must not currently have a freehold interest in property (this includes land)
• Only singles with a taxable income of up to $125,000 per annum and couples with a combined taxable income of up to $200,000 per annum may be eligible (taxable income as shown on the Notice of Assessment issued by the Australian Taxation Office)
• For the First Home Guarantee, couples are only eligible for the Scheme if they are married or in a de facto relationship. Other persons buying together, including siblings, parent/child or friends, are not eligible
• For the Family Home Guarantee, the applicant must be a single parent with at least one dependent child.
• The Scheme will only apply to Owner Occupied home loans paid on a principal and interest basis (investment properties and Interest Only loans are excluded). If the loan relates both to the purchase of vacant land and to the construction of a house, the loan may still be eligible even if the terms of the construction loan agreement permit Interest Only payments for the partially funded period
• For the First Home Guarantee, applicants must have a deposit of between five percent and 20% of the property’s value. For the Family Home Guarantee, applicants must have a deposit of between two percent and 20%
• Your maximum property purchase price is subject to the suburb and postcode of your new property. You can check the property price threshold for your property’s suburb and postcode using the NHFIC’s property price threshold tool.

You can only use the Guarantee once for the settlement of a home. If you were unable to purchase a property in the required timeframe, you may be able to make a new place reservation.