Overview

• The federal government will act as guarantor for up to 15% of a loan so buyers can purchase with a 5% deposit and avoid lenders’ mortgage insurance.
• Eligibility is broadened from October, with multiple outlets reporting access for all first‑home buyers regardless of income and higher property caps, including $1.5 million in Sydney, $950,000 in Melbourne and $1 million in Brisbane.
• Treasury modelling points to about 20,000 additional guarantees in year one and a total house‑price effect of roughly 0.5% after six years, while media reports cite first‑year take‑up estimates near 70,000.
• Independent analysts say the policy could push prices up more than Treasury projects, with estimates ranging from roughly 3% to more than 15% over six years in the context of recent interest‑rate cuts.
• As part of a broader housing package, the government will pause non‑essential National Construction Code changes until 2029 and accelerate environmental approvals for more than 26,000 homes, while critics flag risks from 95% loan‑to‑value borrowing and benefits skewed to higher‑priced buyers.