Homestart Finance Adelaide

SA state-owned lender

HomeStart Finance Adelaide: The Buyer Explainer

HomeStart is a state-owned South Australian home lender for owner-occupiers, with low-deposit products (typically 2% to 5% deposit) and no LMI on eligible loans. It exists to make home ownership more accessible for SA buyers who would otherwise struggle to meet mainstream lender deposit requirements.

Key facts

Facts with sources

Every item below is drawn from a primary source cited beside it. If the scheme or rule changes after this review date, the primary source is the version of truth.

Owner

Government of South Australia

Source: HomeStart Finance

HomeStart is wholly owned by the SA Government and reports through the Treasurer of South Australia. It is not a private bank.

LMI

Not charged

Source: HomeStart Finance

HomeStart does not charge Lenders Mortgage Insurance on its eligible low-deposit loans.

Location

South Australia only

Source: HomeStart Finance

Property security must be located in South Australia. HomeStart does not lend for interstate property.

Use

Owner-occupier only

Source: HomeStart Finance

HomeStart loans are for buyers who will live in the home as their principal place of residence. They are not available for investment properties.

Loan limit

Combined loan cap A$850,000

Source: HomeStart Finance

HomeStart caps the combined total of a home loan plus any additional loan at A$850,000 (as published on the HomeStart Home Loan page). Confirm the current cap directly with HomeStart.

Eligibility

Who qualifies

1

18 years or over

All applicants must be 18 years or older at the time of application.

2

Australian citizen, permanent resident, or eligible visa holder

HomeStart accepts Australian citizens, permanent residents, and eligible skilled migrant / other acceptable visa classes.

3

Principal place of residence in SA

You must live in the SA property as your principal place of residence.

4

Not currently owning another property

For most HomeStart low-deposit products, you must not currently own another residential property.

5

Clean credit history

HomeStart generally requires no paid or unpaid defaults, court judgments, or bankruptcy history.

6

Regular income

HomeStart assesses serviceability against a regular income. Product-specific income tests may also apply (for example, Graduate Loan has qualification-based rules).

How this works with a new build

Practical interactions

Scenario

Alongside the federal First Home Guarantee

HomeStart is a state-owned lender; the federal First Home Guarantee is a deposit scheme administered by Housing Australia through participating lenders. Whether HomeStart is a participating lender under a particular federal scheme (and how you would combine both) is a question for HomeStart directly.

Scenario

Alongside the SA First Home Owner Grant

The SA FHOG is a state grant administered by RevenueSA. It is separate from your loan. If you are eligible, HomeStart can process the grant application at settlement or drawdown like any other lender.

Scenario

For a house-and-land or build contract

HomeStart offers construction loan structures for building a new home. Deposit and progress payment rules differ from a straight purchase. HomeStart is the source of truth on current build product rules.

Frequently asked

Common questions

Next step

Line up your builder while you sort your loan

BuildPilot matches SA home buyers to licensed builders that fit their block and budget. We do not arrange finance; that is a job for HomeStart or a licensed mortgage broker.

Start builder matching

Trusted sources

Trusted sources

Every fact on this page is drawn from the primary sources below. Verify current details on the primary source before you rely on them.

Important: General information only. BuildPilot is not a lender, mortgage broker, financial adviser, or government agency. Rules, eligibility, and thresholds change over time; always verify current details on the primary sources cited above and engage a licensed adviser (mortgage broker, conveyancer, accountant) before signing anything.

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