From 1 October 2025, buying your first home in Australia just got a little easier.
The Federal Government is expanding the First Home Guarantee Scheme, and two big changes stand out:
Unlimited places: every eligible first home buyer can now access the scheme
Higher property price caps, including:
Sydney: $1.5 million
Melbourne: $950,000
Brisbane: $1 million
Originally set for a January 2026 launch, these updates have been fast-tracked to start in October 2025 – opening the door for more buyers, sooner.
What’s New with the First Home Guarantee Scheme?
- Unlimited scheme access
No more scrambling for one of the limited places, if you meet the criteria, you’re in.
2. Higher price caps tailored to your city
From inner-city townhouses to larger homes in growing suburbs, this change brings more flexibility in where you can afford to buy.
3. Only a 5% deposit required
And no Lenders Mortgage Insurance (LMI) needed. That means you could enter the market faster, without the long wait to save 20%.
4. Better borrowing strategies
At Borro, we also help you understand how HECS-HELP debt is treated, and explore equity or guarantor options – so you’re making decisions that fit your bigger financial picture.
Why It Matters (Especially If You’re in Brisbane)
With Brisbane’s new cap rising to $1 million, first home buyers across Queensland gain access to a broader range of properties – many of which previously sat just out of reach.
If you’ve been eyeing your first home in Brisbane, Gold Coast or the Sunshine Coast, this change could be your chance to finally make it happen. Consider the example below.
Property Value: $800,000
What Does It Mean for the Property Market?
While these updates are a big win for buyers, there’s a flip side. Experts expect they may also increase demand, which could add pressure to prices in popular areas.
That’s why preparation is key. At Borro, we help clients move early and confidently with:
A clear borrowing strategy
Pre-approval ready to go
A strong understanding of your budget and buying power
Borro’s Tips for First Home Buyers (Now and in 2025)
Get pre-approved before October
Don’t wait until the scheme changes kick in – have everything lined up so you can act the moment it opens.
Work with the right broker
We know which lenders treat HECS and other debts more favourably – and how to use that to your advantage.
Use price cap tools
Sites like Housing Australia offer postcode-based price cap checkers so you can focus your search.
Stay informed
Keep an eye on interest rates, suburb trends and local competition. This will help you avoid overpaying or missing opportunities.
Why Work with Borro?
Whether you’re buying in Brisbane, Melbourne or Sydney, we help you navigate the process from start to finish, minus the stress.
- Access to 30+ lenders, tailored to your needs
- We stay on top of policy changes so you don’t have to
- We’ll help you buy sooner, smarter, and with confidence
Let’s Turn This Into a Win
If you’re ready to make the most of these changes, start planning now. The October 2025 updates are a chance to move forward, on your terms.
