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Australian Government 5% Deposit Scheme

Home ownership could be closer than you think. With support from the Australian Government 5% Deposit Scheme, we're helping eligible first home buyers and single parents buy with a smaller deposit.

What is the Australian Government 5% Deposit Scheme?

The Australian Government 5% Deposit Scheme makes home ownership more achievable by helping you buy sooner with a smaller deposit, supported by a Government guarantee.

Under the Scheme, eligible home buyers can buy a home with a minimum deposit of 2% for single parents or single legal guardians, and 5% for first home buyers. The Scheme is only available through approved lenders, and as one of them, we’re here to help you get started.

Key features of the Scheme

Low deposit options

Eligible first home buyers can purchase with a minimum deposit of 5%, and single parents or single legal guardians with a minimum of 2%.

No Lenders Mortgage Insurance

A Government guarantee means you won’t need to pay Lenders Mortgage Insurance (LMI), which is one less upfront cost to think about.

No waiting lists or income caps

With unlimited places available under the Scheme, eligible home buyers can apply when they’re ready to purchase a home.

Eligibility for the Australian Government 5% Deposit Scheme

To access the Scheme, you’ll need to meet certain eligibility criteria, including:

  • Be an Australian citizen or permanent resident
  • Be at least 18 years old
  • Be buying a home in Australia priced at or below the location's price cap
  • Planning to live in the property as an owner-occupier (no investment properties)
  • Applying for an owner-occupier home loan with principal and interest repayments through a participating lender, up to

If you’re applying as a first home buyer, you must also:

  • Have saved a minimum deposit of 5%
  • Be a first home buyer, or not have owned property or land in Australia in the last 10 years
  • Apply on your own or with no more than one other applicant (such as a partner, friend, or family member)

If you’re applying as a single parent or legal guardian, you must also:

  • Have saved a minimum deposit of 2%
  • Be a single parent or single legal guardian of one or more dependent children
  • Not have any other property interest once your new home settles
  • Apply on your own (no joint applications)

Eligible property types

Only residential properties are eligible under the Australian Government 5% Deposit Scheme. These include:

Existing house, townhouse, or apartment

New house and land package

Vacant land and a separate contract to build a home

Off-the-plan apartment or townhouse

What are the property price caps?

Both the purchase price and the home’s value (as assessed by BCU Bank) must be at or below the price cap. If you’re building a new home on vacant land with separate contracts, the total land price and build cost must also stay within the price cap. Price caps are the same for first home buyers and single parents.

Property price caps vary by location. Select your state or territory below to view the current caps, effective 1 October 2025.

You can also use the postcode search tool to find the price cap for the area you're looking to buy in. It's only a guide – confirm the price cap for any home you're considering purchasing with our lenders.

  • NSW – capital city and regional centre*: $1,500,000
  • NSW – other: $800,000

*Regional centres in New South Wales are Illawarra, Newcastle, and Lake Macquarie

  • QLD – capital city and regional centre*: $1,000,000
  • QLD – other: $700,000

*Regional centres in Queensland are the Gold Coast and the Sunshine Coast.

  • ACT: $1,000,000

  • NT: $600,000

  • SA – capital city: $900,000
  • SA – other: $500,000

  • TAS – capital city: $700,000
  • TAS – other: $550,000

  • VIC – capital city and regional centre*: $950,000
  • VIC – other: $650,000

*The regional centre in Victoria is Geelong.

  • WA – capital city: $850,000
  • WA – other: $600,000

  • Christmas Island and Cocos (Keeling) Islands: $400,000

  • Jervis Bay Territory and Norfolk Island: $550,000

You may also be interested in:

Borrower eligibility tool

You can use the Australian Government's eligibility tool to find out if you're eligible for the Scheme.

Check your eligibility

How to apply for a home loan

Our step-by-step guide on how to apply for a home loan will walk you through the application process, from checking eligibility to securing your dream home.

Find out what you need to apply

Home loan repayment calculator

Use our home loan repayment calculator to estimate what the total cost of your loan would be over its term, including total payments and interest payable.

Calculate your home loan repayments

Important information

You can find more information about the Australian Government 5% Deposit Scheme on the Australian Government First Home Buyers website.

For more information on the Scheme, you can download: