Overview
With skyrocketing Aussie house prices, many first home buyers find that a standard residential mortgage, which requires a 20% deposit, doesn't work for them.
The standard low-deposit alternative in the past has been LMI, but in 2025, there's an increasing range of options for first home buyers to boost their ability to buy - and we're well versed in all of them.
These low deposit loans can fund between 0% to 20% deposits. While many start at 5% deposit, there are a number of options that have as little as no deposit.
Interested in learning how to get on the property ladder without spending years renting and saving? Our team provides free assessments - so you can understand what the best options for you are.
Loan options
First Home Guarantee Scheme
Australian Federal Government scheme allowing eligible first home buyers to purchase with as little as 5% deposit without paying LMI.
See guide
Regional First Home Guarantee Scheme
Similar to the First Home Guarantee Scheme, but specific to regional parts of Australia. Includes major regional metros, such as Geelong, Sunshine Coast, Gold Coast, Newcastle, Wollongong, and more.
See guide
Lender's mortgage insurance (LMI)
Lender's Mortgage Insurance protects the lender if you default, allowing you to buy with less than 20% deposit in exchange for an upfront fee.
See guide
Deposit loans
An alternative to LMI, in which you get a loan for your deposit, and pair this with a separate 80% LVR mortgage. Often has lower upfront costs than LMI, but less providers in the market.
See guide
Guarantor loans
Loans where a family member uses their property as security to help you avoid LMI or secure a higher borrowing power.
See guide
Family Home Guarantee Scheme
Allows single parents and guardians to buy with a deposit of as little as 2% and LMI.
See guide
Deposit bond
Deposit bonds replace cash deposits when buying property, guaranteeing payment at settlement. Perfect for buyers with assets but limited cash, they cost a fraction of the deposit amount.
See guide
LMI waiver
Low deposit loans where the lender waives LMI for certain professions or borrower types.
See guide
Shared ownership
Also called shared equity loans, these loans are where another party (such as the government), contribute towards the property purchase in exchange for equity in the property.
See guide
State government schemes
There are specific state government schemes, typically designed to help first home buyers, or disadvantaged communities, with the deposit hurdle. These include Keystart (WA) and HomeStart (SA). Different types of loans and eligibility criteria exist under these schemes.
See guide
Calculators
FAQs
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