First Home Guarantee Scheme

29 January 2026

The First Home Guarantee Scheme in Perth: How It Can Help You Buy Sooner Than You Think

Buying your first home can feel like it’s always just out of reach.
The deposit. The timing. The “what if we wait another year?” conversations.

But here’s the good news: for many first home buyers in Perth, the First Home Guarantee Scheme is changing what’s possible, and how soon it can happen.

This guide breaks down what the scheme actually is, how it works in WA, and how buyers are using it to move from planning to building sooner than they expected.

You’re Not Alone and You Don’t Need a 20% Deposit

One of the biggest myths about buying your first home is that you need a huge deposit saved before you can even start.

The First Home Guarantee Scheme exists to remove that roadblock.

Under the scheme, eligible first home buyers can purchase a home with as little as 5% deposit, without paying Lenders Mortgage Insurance (LMI). The government guarantees the remaining portion, making it easier for buyers to get into the market sooner.

For many Perth buyers, that’s the difference between:

Waiting years longer to buy, or
Starting their build journey now

Let’s unpack the First Home Guarantee Scheme…

In simple terms, the First Home Guarantee Scheme helps eligible first home buyers buy or build a home sooner by reducing the deposit required.

Instead of needing 20%, eligible buyers may be able to:

✔ Get into a brand-new home with just a 5% deposit
✔ Pay no Lenders’ Mortgage Insurance (approx. ~$35,000 savings)
✔ Perth’s price cap lifted to $850,000
✔ No income limits
✔ Apply with friends, siblings, or family
✔ Eligible buyers: Rates from 5.45% vs standard 7.75% for a 5% deposit
✔ Single Parent Scheme: Same benefits with just 2% deposit

It’s designed for people who are ready to take the next step, but don’t want their first home dream delayed by deposit hurdles.

Why the First Home Guarantee Works So Well for Building

For many buyers, building is where the scheme really shines.

When paired with the right builder, the First Home Guarantee Scheme can:

Lower the upfront deposit barrier
Help buyers secure land and a new build together
Provide clearer timelines from contract to build
Reduce the pressure to “wait and save longer”

With Perth’s market moving quickly, having a structured pathway, rather than hoping conditions improve, gives buyers confidence and momentum.

Is the First Home Guarantee Scheme Right for You?

The scheme can be a great fit if you:

Are a first home buyer struggling to save a large deposit
Have stable income but want to buy sooner
Are considering building rather than buying established
Want to avoid LMI and keep costs down

The key is understanding your eligibility early and pairing the scheme with a builder who can actually help you progress, not just explain the theory.

Ready to Explore Your Options?

If you’re curious whether the First Home Guarantee Scheme could work for you, the best next step is to explore real, build-ready opportunities, not just eligibility criteria.

You can: