Family Home Guarantee

As part of the 2021-22 Federal Budget, the Australian Government has announced the Family Home Guarantee (FHG), specifically designed to support eligible single parents purchase their first home or re-enter the property market with a deposit of as little as two percent.

Beginning in the 2021-22 financial year, 10,000 FHG places will be available through a panel of participating lenders

Are you eligible for the First Home Loan Deposit Scheme?

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)
• 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
• 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
• The Scheme will only apply to Owner Occupied home loans paid on a principal and interest basis (property investment and Interest Only loans are excluded). If the loan relates both to the purchase of vacant land to the construction of a house on the land, the loan may still be an eligible loan even if the terms of the loan agreement permit Interest Only payments for a specified period
• Applicants must have a deposit of between 5% and 20% of the property’s value
• 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 NHFIC’s property price threshold tool

You can only receive the Government Guarantee once. If you have entered the Scheme but were unable to purchase a property in time, you can request another place.

What is the First Home Owner Grant?

The First Home Owner Grant (FHOG) in Australia is a one-off government payment designed to encourage and assist would-be first home buyers across the country to purchase a property.

First Home Owners Grant NSW eligibility

• You must be an individual, not a company or trust
• You must be aged over 18
• You, or at least one person you’re buying with, must be an Australian citizen or permanent resident
• You and your spouse must not previously have owned a home in Australia or received an Australian first home owner grant.
• You’ll need to live in your first home for at least six months within 12 months of buying or completion of construction

You may still be eligible for the FHOG in NSW if you’ve previously owned a residential property but you haven’t lived in it for more than six months.