Labor’s re-election this month brings significant changes for first home buyers in Australia, aiming to improve housing affordability and accessibility.

Key takeouts for First Home Buyers 🏡

5% Deposit Scheme
Starting January 2026, all first home buyers can purchase a home with just a 5% deposit without paying Lenders Mortgage Insurance (LMI). This expansion removes previous income and property price caps, making the scheme universally accessible.

$10 Billion Housing Investment
Labor has committed $10 billion to construct up to 100,000 new homes exclusively for first home buyers. This initiative aims to increase housing supply and reduce competition from investors.

Help to Buy Shared Equity Scheme
Launching in late 2025, this scheme allows eligible buyers to purchase a home with as little as a 2% deposit, with the government contributing up to 40% of the property’s value in exchange for a proportional equity stake.

HECS-HELP Debt Relief
From 1 June 2025, a 20% reduction in student HECS debts will be implemented, and the repayment threshold will increase to $67,000. These changes aim to improve borrowing capacity for young buyers.

Implications for Perth buyers 📍

In Perth, where median house prices remain relatively affordable compared to other capital cities, these initiatives could provide significant assistance to first home buyers.

However, the potential for increased demand may also lead to price growth, emphasising the importance of early action for prospective buyers.

Make your move into Property 🏡

In short, there’s never been a better time than now to make the jump into the property market. With Labor’s new policies aimed at reducing barriers and increasing affordability, first home buyers have more opportunities to secure their place on the property ladder.

Ready to take the first step? Get in touch with our team today to explore your options and find the perfect home for your budget and lifestyle.