Federal scheme, Adelaide context
The First Home Guarantee lets eligible first home buyers purchase with a 5% deposit and no Lenders Mortgage Insurance, backed by the federal government. This guide explains the current scheme rules with sources, and how it interacts with an Adelaide new-build.
Every number below is drawn from the primary source cited beside it. If the scheme changes after this review date, the primary source is the version of truth.
Deposit required
5% minimum
Buyers save a 5% deposit; the federal government guarantees the remaining portion up to 20% so buyers avoid Lenders Mortgage Insurance (LMI).
Income cap
Removed from 1 October 2025
The previous $125,000 single / $200,000 combined income limits were removed. Eligibility is now capped by the property price limit rather than income.
Places available
Uncapped from 1 October 2025
The scheme previously had a fixed annual quota. It is now open to all eligible applicants without an annual cap.
SA property price cap: Adelaide (capital city)
A$900,000
Applies to the Adelaide capital city statistical area (which extends beyond the CBD into greater metropolitan Adelaide).
SA property price cap: rest of SA
A$500,000
Applies to purchases outside the Adelaide capital city statistical area (regional SA).
All of these must be satisfied at the time you enter the loan. Your participating lender confirms your eligibility during application; Housing Australia sets the rules.
One or both applicants must be an Australian citizen or hold permanent residency at the time the loan is entered into.
All applicants on the loan must be over the age of 18.
The property must be purchased as your principal place of residence, not an investment. You must move in within the timeframe specified by your participating lender.
Either a first home buyer, or someone who has not owned real property in Australia in the previous 10 years (a re-entry rule added in later scheme updates).
Purchase price must not exceed the price cap for the location (A$900,000 Adelaide capital city, A$500,000 rest of SA as at February 2026).
You must apply through one of Housing Australia's participating lenders. The lender assesses your income, deposit, and serviceability under normal criteria.
The scheme is loan-side. It does not tell you which builder to use, which block to buy, or how to structure a build contract. But how you set those up affects how a participating lender approves you.
Scenario
Buying land + signing a build contract
The First Home Guarantee can be used for a house-and-land package or for buying land and building. Speak to your participating lender about whether they treat this as a single transaction or two combined contracts.
Scenario
Stacking with the SA First Home Owner Grant
South Australia's $15,000 First Home Owner Grant is a separate state-based scheme for eligible new homes. Both schemes have separate rules and application processes. Confirm current eligibility with RevenueSA before you rely on either.
Scenario
Stacking with SA stamp duty relief
South Australia has stamp duty concessions specific to first home buyers on new homes. Consumer and Business Services SA and RevenueSA are the source of truth on current rules.
Scenario
Contract deposit vs. FHG deposit
The 5% deposit in FHG is the loan-side deposit paid at settlement. Your builder's contract may require a separate progress deposit at contract signing (typically at the fixed-price contract stage). These are different payments.
Frequently asked
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BuildPilot matches first home buyers to SA-licensed builders whose designs and price points align with the property price cap in your area. We are not a lender, mortgage broker, or government agency.
Start builder matchingTrusted sources
Every scheme fact on this page is drawn from the primary sources below. If you rely on any number here for a purchase decision, verify it directly against firsthomebuyers.gov.au or Housing Australia first.
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