Lenders are being called on to join the lender panel for the incoming Help to Buy Scheme and to join the existing 5 per cent Deposit Scheme.
Housing Australia is calling on lenders to join the incoming shared equity scheme, Help to Buy.
First announced in 2022, the long-delayed shared equity scheme will see the government contribute up to 40 per cent of the purchase price for new homes or 30 per cent of existing homes for eligible borrowers.
It is designed to assist individuals who have made “reasonable” savings toward purchasing a home, but require additional support to become a home owner.
The scheme aims to help home buyers purchase a property sooner by reducing the amount of money needed to qualify for a home loan and bridge the gap between what a home buyer can borrow and the price of a home that suits their needs.
By using the Help to Buy Scheme, the consumer will own the home, but share some of the value with the federal government. The government will then proportionally share any gains or losses made when the home is sold or when the borrower buys out the government’s equity share.
Eligible borrowers must be an Australian citizen to qualify for the scheme and will need a minimum 2 per cent deposit to qualify for a mortgage with a participating lender (the lender panel for Help to Buy has not yet been confirmed).
They must have an annual taxable income at or below $100,000 for individual applicants or $160,000 for single parents and joint applicants.
For example, on an $800,000 home, a buyer might contribute a $16,000 deposit (2 per cent), take out a $544,000 loan with a participating lender (68 per cent), and receive a $240,000 government contribution (30 per cent), which must later be repaid based on the property’s value at the time.
While an official start date has not yet been confirmed, there will be 10,000 places available each year for a period of four years, focusing on both first-time buyers and those re-entering the housing market. However, borrowers must live in the home as the principal place of residence, while a part of the scheme (i.e. investment properties are not eligible).
To be eligible, a participant cannot be receiving other forms of home ownership assistance. This includes home buyer guarantees from Commonwealth entities, participation in a shared equity scheme, or any loan or guarantee provided by a state or territory to support home ownership. Participants will also need to have in place adequate insurance.
Help to Buy lender panel
Housing Australia – the body that administers the government housing schemes – is now calling on both banks and non-banks to submit their interest in joining the Help to Buy panel. This includes lenders that are already on the 5 per cent Deposit Scheme lender panel.
Housing Australia has said it will assess each lender’s ability to support the successful delivery of the scheme, including by taking into account such matters as their risk management and oversight arrangements, customer care arrangements, and distribution channels. The evaluation approach is reportedly “designed to ensure a fair, transparent and merit-based assessment process”.
New lenders (i.e. those who are not on the 5 per cent Deposit Scheme panel) are welcome to apply.
Submissions must be received by Housing Australia by 28 November.
The entity will make offers to successful respondents for the Help to Buy Scheme in January 2026, with lenders expected to commence on the Help to Buy Scheme panel between March 2026 and June 2026.
The move comes following a new intergovernmental agreement on the Help to Buy Scheme, which outlined that the financial responsibility for the Help to Buy Scheme is overwhelmingly borne by the Commonwealth.
As such, the Commonwealth will bear all financial costs associated with enacting the Commonwealth Law, establishing and administering the scheme, and covering the expenses of Housing Australia (the administering body).
The Commonwealth is also intended to bear all financial and legal risks related to the scheme. However, while states and territories will have no responsibility for funding any aspect of the scheme’s establishment or administration, they will be responsible for the costs incurred in preparing and passing their own state referral or adoption legislation.
5% Deposit Scheme
As well as announcing a call for interest to join the Help to Buy panel, the government has also commenced a call for lenders to join its expanded Australian Government 5% Deposit Scheme.
The Australian Government 5% Deposit Scheme (previously called the Home Guarantee Scheme) expanded in October 2025 to remove placement caps and income limits.
The Australian Government 5% Deposit Scheme enables eligible first home buyers to purchase a home with a deposit as low as 5 per cent and single parents or legal guardians with a deposit as low as 2 per cent without the need to pay lenders mortgage insurance.
The scheme aims to help buyers enter the market sooner. Indeed, new statistics from Treasury show that 5,778 first home buyer guarantees were issued under the scheme in October 2025, 48 per cent higher than the 3,901 guarantees issued in October 2024, before the scheme was expanded.
The deposit scheme is currently available through a panel of three major bank lenders (excluding ANZ) and 28 non-major lenders.
However, as part of the expansion, the government is also expanding the number of lenders available on panel.
A decision to appoint new lenders to the 5% Deposit Scheme panel is expected in early January, with newly appointed lenders commencing in tranches from March 2026.
A virtual industry briefing on joining either/both lender panels will be held at 2:00pm AEDT on Thursday (13 November 2025).
[Related: First home buyers flock to use refreshed 5% deposit scheme]
