Research by Deloitte Access Economics highlights just how challenging the landscape has become. Between 2013 and 2023, average home prices rose 67%, from around $548,000 to $915,000, while average weekly incomes for Australians aged 21 to 34 increased by just 20% over the same period.
As a result, major life milestones are increasingly being delayed. In 1981, around one-third of Australians aged 20 to 24 lived with their parents. By 2021, that figure had doubled to 63.8%. Today, approximately 40% of Australians aged 25 to 34 rely on some form of family assistance to enter the housing market.
There’s no denying that affordability remains a key barrier — but with the right strategy, guidance and understanding of available support, home ownership can still be achievable.
Below are some of the key pathways helping first-home buyers get into the market sooner.
Help to Buy Scheme
Help to Buy is a new shared-equity initiative designed to reduce the upfront cost of purchasing a home.
Under the scheme, the Australian Government contributes:
- Up to 30% of the purchase price for an existing home
- Up to 40% for a newly built home
This allows eligible buyers to purchase with as little as a 2% deposit, significantly lowering the entry barrier.
Applications opened on 5 December 2025, with 10,000 places available each year.
Income limits apply:
- Up to $100,000 for individual applicants
- Up to $160,000 for joint applicants or single parents
Because the government retains an equity share, eligibility requirements and long-term considerations should be carefully reviewed with professional advice.
5% Deposit Scheme (Home Guarantee Scheme)
The 5% Deposit Scheme allows eligible first-home buyers to purchase a property with just a 5% deposit, without paying Lenders’ Mortgage Insurance (LMI).
Key features include:
- No income limits
- Property price caps apply
- No restriction on the number of places
Since its introduction in 2020, the scheme has already helped more than 248,000 Australians take their first step onto the property ladder.
For many buyers, avoiding LMI can mean saving tens of thousands of dollars upfront.
First Home Super Saver Scheme (FHSSS)
The First Home Super Saver Scheme allows buyers to save for a deposit using their superannuation.
Under the scheme, you can make voluntary contributions into your super fund and benefit from:
- Lower tax rates
- Faster savings growth compared to traditional savings accounts
When ready to buy, eligible contributions — plus associated earnings — can be withdrawn and used toward your first-home deposit.
This approach can be particularly effective for disciplined savers with stable employment.
Support from Family
Family assistance continues to play a significant role in helping younger Australians purchase property.
Common options include:
Cash gift or family loan
Parents may provide funds toward a deposit, either as:
- A non-repayable gift (usually supported by a statutory declaration), or
- A private loan under a formal agreement.
Guarantor support
Parents may use equity in their own property as security, which can:
- Reduce or remove the need for a deposit
- Help avoid Lenders’ Mortgage Insurance
Equity release
Parents may refinance their own home to access equity, then gift or lend funds to assist with the purchase.
Joint ownership
Some families choose to buy together, sharing ownership and loan responsibilities.
Each option carries different risks and long-term implications, so it’s essential that:
- Everyone understands their obligations
- Agreements are documented properly
- Independent financial and legal advice is obtained
A Smarter Way Forward
While housing affordability remains a real challenge, the pathway to ownership today is rarely linear — and rarely achieved alone.
Government support schemes, smart structuring, disciplined saving and professional guidance can make a meaningful difference.
The key is not trying to do everything at once, but building a plan that aligns with your income, lifestyle and long-term goals.
Ready to Get Started?
Buying your first home can feel overwhelming — but you don’t have to navigate it on your own.
If you’d like to understand your borrowing capacity, explore available schemes, or create a clear plan toward ownership, we’re here to help.
Get in touch with Smart Mortgage and let’s talk through your options so you can move forward with clarity, confidence and support.