Home guarantee Scheme

What is the Home Guarantee Scheme (HGS)?

The HGS is an Australian Government initiative delivered through the National Housing Finance and Investment Corporation (NHFIC). The HGS supports eligible home buyers to purchase a home sooner through a Participating Lender (such as IBA) by providing two Schemes:

1. First Home Guarantee (FHBG) supports you buy a first home sooner, with a deposit of as little as 5%.

2. Family Home Guarantee (FHG) aims to support eligible single parents with at least one dependent child in purchasing a family home, with a deposit as little as 2%. This is available to all eligible first home owners and previous home owners.

The Scheme enables more eligible home buyers to make home ownership a reality by providing Participating Lenders with a limited guarantee from the Australian Government of up to 18% of the property purchase price. While lenders mortgage insurance (LMI) is not applicable to IBA, the benefit to our customers is that you may be able to move your guaranteed loan to another Participating Lender when you are ready to refinance.

Find out more about the Home Guarantee Scheme


Am I eligible for the Home Guarantee Scheme?

To be eligible, you must first meet IBA’s criteria.

In addition, you must meet specific Scheme eligibility criteria which includes, but is not limited to:

  • You must be an Australian citizen over 18 years of age. Permanent residents are not eligible
  • All applicants must be a first home buyer
  • The property will be your principal place of residence
  • Couples must be in a married or de facto relationship
  • Individuals must have a taxable income of no more than $125,000 per annum and couples a combined taxable income of no more than $200,000 per annum.

Find more information about the criteria for the Scheme

Are there restrictions on the property I can build or buy?

The property must be an acceptable property and maximum purchase prices apply based on the suburb and postcode of the property being purchased.

Find out more information about acceptable property types and maximum purchase prices here

How do I apply?

You can only apply for the Scheme through Participating Lenders. IBA will assess your eligibility through our home loan process and alert you if you’re likely eligible for a NHFIC Scheme-Backed Loan