Getting into the property market can feel overwhelming, especially when you’re trying to save a deposit while managing everyday expenses. The good news? There are several government schemes designed to help Queenslanders like you get into your first home sooner.
This guide breaks down four key schemes available to Queensland home buyers: Help to Buy, Boost to Buy, the 5% Deposit Scheme and the First Home Super Saver Scheme. We’ll explain how each one works, who they’re for and how to decide which might be right for you.
Quick Links
- Help to Buy scheme
- Boost to Buy scheme
- 5% Deposit Scheme
- First Home Super Saver Scheme (FHSS)
- Which scheme is right for you?
- FAQs
Help to Buy
What is Help to Buy?
Help to Buy is a federal government shared equity scheme where the Australian Government contributes toward the purchase price of your home. In exchange, they take an equity stake in the property, meaning they own part of your home alongside you.
The government will contribute:
- Up to 40% for newly built homes
- Up to 30% for existing homes
By contributing up to 40%, they significantly reduce the size of the loan you need to take out.
How does Help to Buy work?
You provide a 2% deposit. The government contributes up to 30% for existing homes or 40% for new builds. You mortgage the remaining balance.
You’ll repay your loan to your lender over time through regular principal and interest repayments. The government’s share doesn’t require repayments and is interest-free, but you will need to eventually buy them out or repay their share when you sell.
The amount you repay to the government is always based on the property’s value at the time of repayment. So if your home increases in value, the government shares in that gain. If it decreases, they share in the loss.
Who is eligible for Help to Buy?
To qualify for Help to Buy, you must:
- Be at least 18 years old
- Be an Australian citizen
- Have saved a minimum 2% deposit
- Have an annual taxable income at or below:
- $100,000 for single applicants
- $160,000 for joint applicants or single parents
- Not currently own any property in Australia or overseas (some exceptions apply for single parents)
- Plan to live in the home as your principal place of residence
- Not be receiving help from other government home buyer schemes or guarantees
What are the property requirements for Help to Buy in Queensland?
You can use Help to Buy to purchase:
- A new or existing home (house, townhouse, apartment, unit or duplex)
- Vacant land to build on (with a signed building contract)
- A property being demolished and rebuilt (with a signed building contract)
The property must be at or below the price cap for your location. Queensland price caps vary by region.
As the table above shows, in Brisbane, the Gold Coast and Sunshine Coast, eligible properties are capped at $1 million. For the rest of Queensland, the cap is $700,000.
You can use the Help to Buy eligibility tool on the Housing Australia website to check the limit for your area.
What are the benefits of Help to Buy?
Lower upfront costs: With only a 2% deposit required, you can enter the market much sooner.
Smaller loan repayments: Because you’re borrowing less, your monthly repayments might be lower than if you’d taken out a larger loan.
No lender’s mortgage insurance (LMI): Normally, if you have less than a 20% deposit, you’d pay LMI – often tens of thousands of dollars. With Help to Buy, you won’t pay this fee.
Interest-free equity: The government’s share doesn’t accrue interest, unlike a loan.
What should I consider before applying for Help to Buy?
Shared ownership: The government owns part of your home. You can’t make major changes (like large renovations or subdividing) without approval.
Income caps: If your income is above the threshold, you won’t qualify.
Property price caps: You’re limited to properties within the price cap for your area, which may restrict your options in high-demand suburbs.
Eventual buyback: You’ll need to repay the government’s equity share either when you sell or when your financial situation improves. This amount is calculated based on the property’s value at that time.
Limited places: There are 10,000 places available nationally each year, so there may be competition.
How do I apply for Help to Buy?
You can’t apply directly to Housing Australia. Instead, you need to apply through a participating lender – a bank or lender authorised to offer this scheme (e.g. CBA).
Are there ongoing obligations for Help to Buy?
While you’re part of Help to Buy, you must:
- Continue living in the property as your principal residence
- Maintain and insure the property
- Participate in regular reviews, including providing updated income details
How do I leave the Help to Buy Scheme?
You can exit Help to Buy by:
- Making incremental repayments to increase your equity over time
- Refinancing to buy back all or part of the government’s share
- Selling the property (the government receives their proportional share of the sale proceeds)
Boost to Buy
What is Boost to Buy?
Boost to Buy is Queensland’s own shared equity scheme, similar to Help to Buy but run by the state government. It’s designed specifically to help first home buyers in Queensland get into the market sooner with a smaller deposit and reduced loan size.
The Queensland Government will contribute:
- Up to 30% for newly built homes
- Up to 25% for existing homes
You’ll need a minimum 2% deposit and must be a first home buyer.
How does Boost to Buy work?
Like Help to Buy, this is a shared equity arrangement. The Queensland Government contributes toward your home purchase and holds an equity stake in the property. You own the home but share the value with the government.
Your smaller deposit and government contribution mean you’ll need a smaller home loan, which translates to lower monthly repayments.
Who is eligible for Boost to Buy?
To qualify for Boost to Buy, you must:
- Be at least 18 years old
- Be an Australian citizen or permanent resident
- Be a first home buyer (neither you nor your spouse can have owned property anywhere in Australia)
- Have a minimum 2% deposit from genuine savings (cannot include the First Home Owner Grant)
- Important note: Your savings must also cover acquisition costs, like transfer duty, conveyancing fees and mortgage registration fees.
- Have an annual income within these thresholds:
- $150,000 for single applicants
- $225,000 for couples (with or without dependants)
- $225,000 for single applicants with dependants
- Plan to live in the property as your principal residence
- Be purchasing as an individual (not through a company or trust)
What are the property requirements for Boost to Buy in Queensland?
The property must:
- Be located in Queensland
- Be an existing or newly built home (with a Certificate of Occupancy already issued)
- Have a purchase price of $1 million or less
- Be a house, townhouse, unit or apartment
You cannot use Boost to Buy for:
- Off-the-plan purchases (the Certificate of Occupancy must be issued before you sign the contract)
- Vacant land
- Properties bought at auction (auction sales are unconditional and therefore ineligible)
What are the benefits of Boost to Buy?
Lower deposit: Only 2% required, making it easier to get started.
Smaller loan, lower repayments: The government’s contribution reduces how much you need to borrow.
No LMI in most cases: Saves you thousands in upfront costs.
State-specific support: May offer more flexibility than federal schemes in some situations.
What should I consider before applying for Boost to Buy?
Limited to Queensland: You must be buying in Queensland.
Availability: The scheme has limited annual allocations, so places fill up quickly.
Shared ownership: The Queensland government retains an equity stake in your home.
Buyback costs: When you eventually buy back the government’s share, it will be based on the property’s current market value, which could be higher than when you purchased.
Minimum time requirement: You must remain in the scheme for at least two years before you can exit.
Are there ongoing obligations for Boost to Buy?
While participating in Boost to Buy, you must:
- Live in the property as your principal residence (you’ll need approval to be absent for more than three consecutive months)
- Keep your income below the threshold (increased each year based on the wage price index). If it exceeds the threshold by 25% or more, you may need to exit the scheme
- Not rent out the property (though you can rent out a room or take on a housemate)
- Remain the only registered owner (along with any joint applicant)
- Not acquire additional property while in the scheme
- Maintain the property and keep it insured
- Pay all property expenses on time (rates, utilities, body corporate fees)
- Not refinance unless it’s with a scheme-approved lender (e.g. Unity Bank)
- Complete a scheme eligibility audit every five years
- Notify the scheme provider immediately of any changes affecting your eligibility
How do I apply for Boost to Buy?
Applications are managed through approved lenders and the Queensland government. Check the Queensland Treasury website for current application processes and participating lenders.
How do I leave the Boost to Buy scheme?
After the minimum two-year period, you can exit by:
- Selling the property (proceeds go toward repaying your loan and the government’s equity)
- Repaying the government’s equity in full (using savings or by increasing your home loan via refinancing)
5% Deposit Scheme (previously the First Home Guarantee)
What is the 5% Deposit Scheme?
The 5% Deposit Scheme is a federal government initiative that allows eligible first home buyers to purchase a home with just a 5% deposit (or 2% for single parents or legal guardians).
What is the key difference from shared equity schemes? You own 100% of the property – the government doesn’t take an equity stake. Instead, they provide a guarantee to your lender, which means you can avoid paying LMI.
How does the 5% Deposit Scheme work?
Normally, if you have less than a 20% deposit, lenders require you to pay LMI. This is insurance that protects them if you default on your loan, and it can cost tens of thousands of dollars upfront.
Under the 5% Deposit Scheme:
- You save a 5% deposit (or 2% if you’re a single parent/legal guardian)
- The Australian Government guarantees up to 15% (or 18%) of the property value to your lender
- Your lender provides a home loan for up to 95% (or 98%) of the property value
- You don’t pay LMI, saving you significant upfront costs
Who is eligible for the 5% Deposit Scheme?
As of 1 October 2025, the scheme has no income caps, no waitlists and unlimited places.
To qualify, you must:
- Be a first home buyer (for the standard 5% option), or
- Be a single parent or legal guardian (for the 2% option – you can have owned property before)
- Unlike Help to Buy and Boost to Buy, this scheme doesn’t require you to be a first home buyer if you’re a single parent or legal guardian
- Have saved the minimum deposit (5% or 2%)
- Be purchasing a property to live in as your principal residence
- Apply through a participating lender
What are the property requirements for the 5% Deposit Scheme in Queensland?
You can purchase:
- A new or existing home
- Vacant land to build on
- A wide range of property types across Queensland
As with the Help to Buy scheme, property caps apply:
In Brisbane, the Gold Coast and Sunshine Coast, eligible properties are capped at $1 million. For the rest of Queensland, the cap is $700,000.
The property must be purchased as your principal place of residence.
What are the benefits of the 5% Deposit Scheme?
Full ownership: You own 100% of the property from day one. No shared equity with the government.
Low deposit: Only 5% required (or 2% for eligible single parents/guardians).
No LMI: Avoiding LMI can save you $10,000 to $30,000 or more, depending on the property price and deposit.
No income caps: As of October 2025, there are no income restrictions.
Widely available: Offered through major banks and lenders across Australia.
Unlimited places: No competition for spots, which means everyone who qualifies can access it.
What should I consider before applying for the 5% Deposit Scheme?
Higher loan amount: Because you’re borrowing more (95% or 98% of the property value), your loan repayments will likely be higher than if you had a larger deposit.
More interest over time: A larger loan means you’ll pay more interest over the life of the mortgage.
Serviceability requirements: Even without income caps, you still need to demonstrate you can afford the repayments.
How do I apply for the 5% Deposit Scheme?
Contact us and one of our Mortgage Brokers will get in contact with you. They’ll assess your eligibility and guide you through the application process.
First Home Super Saver Scheme (FHSS)
What is the FHSS?
The FHSS is a completely different approach compared to other government schemes. It is not about reducing your deposit or getting government contributions. Instead, it’s a tax-effective way to save for your first home deposit using your superannuation fund.
By making voluntary contributions to your super, you can take advantage of tax benefits that help you save faster than keeping money in a regular savings account.
How does the FHSS Scheme work?
You make voluntary contributions to your super fund specifically to save for your first home. This allows you to take advantage of tax benefits to grow your savings faster.
There are two types of contributions you can make:
1. Concessional contributions (before tax)
- Salary sacrifice contributions
- Personal contributions you claim a tax deduction for
- Taxed at only 15% in your super fund (usually lower than your marginal tax rate)
2. Non-concessional contributions (after tax)
- Personal contributions you don’t claim a tax deduction for
- Not taxed in your super fund
There are limits to how much you can contribute to the FHSS scheme:
- Maximum $15,000 per financial year
- Maximum $50,000 total across all years
How much can I withdraw from the FHSS Scheme?
When you’re ready to buy, you can withdraw:
- 100% of your eligible non-concessional contributions
- 85% of your eligible concessional contributions (this is because 15% was already taxed in the fund)
- Plus associated earnings on both types of contributions
The associated earnings are calculated using the shortfall interest charge rate, not your fund’s actual investment returns.
Who is eligible for the FHSS Scheme?
To use the FHSS scheme, you must:
- Be at least 18 years old when requesting a release
- Never have owned property in Australia (including investment property, vacant land or commercial property)
- Plan to live in the home you purchase as your principal residence
- Live in the property for at least six of the first 12 months
What are the benefits of the FHSS Scheme?
Tax advantages: Concessional contributions are taxed at just 15%, which is usually much lower than your income tax rate. This helps your savings grow faster.
Boost your deposit: You can use the FHSS alongside other schemes like Help to Buy, Boost to Buy or the 5% Deposit Scheme.
Flexible saving: You can make contributions through salary sacrifice (automatic deductions from your pay) or voluntary payments.
30% tax offset: When you withdraw your FHSS amount and include it in your tax return, you receive a 30% tax offset on the assessable portion.
What should I consider before using the FHSS Scheme?
Money is locked in super: Once you make contributions, the funds stay in your super account until you’re ready to buy. You can’t access them for other purposes (unless you meet other super release conditions).
Doesn’t reduce the property price: The FHSS helps you save faster, but it doesn’t reduce how much you need to borrow or the price of the home.
Withdrawal is taxed: When you withdraw your FHSS amount, the assessable portion is included in your tax return. However, the 30% tax offset usually means the effective tax rate is quite low.
Time commitment: It takes time to build up contributions.
Annual and total limits: You can only contribute $15,000 per year and up to $50,000 total, so there’s a cap on how much you can save this way.
How do I use the FHSS?
- Make voluntary contributions to your super fund. There is no need to notify your fund or the Australian Taxation Office (ATO).
- When you’re ready to buy, request an FHSS determination through myGov to confirm your maximum release amount.
- Once confirmed, request a release of some or all of your eligible savings.
- Sign a contract to buy or build a home within the required timeframe (extensions may be available).
- Receive your FHSS funds from the ATO, paid to your bank account after withholding tax (usually within 15–20 business days).
- Notify the ATO once your contract has been signed within the required timeframe.
What if I don’t buy a home?
If you request a release but don’t end up signing a contract within the allowed timeframe, you have two options:
- Recontribute the amount to your super fund (the assessable amount less tax withheld) within 12 months. This must be a non-concessional contribution.
- Keep the money and pay FHSS tax. This is a flat 20% tax on the assessable FHSS released amount.
How do I manage the tax on the FHSS?
When you request a release, the ATO withholds tax based on your expected marginal tax rate (or 17% if they can’t estimate it). You’ll receive a payment summary at the end of the financial year showing:
- Your assessable FHSS released amount
- The tax withheld
You must include this in your tax return for the year you requested the release (which might not necessarily be the same year that you received the money). The 30% tax offset will apply, which usually results in a low effective tax rate.
Can I combine FHSS with other government grants and schemes?
Yes, the FHSS can be used alongside:
- Help to Buy
- Boost to Buy
- 5% Deposit Scheme
- Queensland transfer duty concessions and grants
Which scheme is right for you?
Choosing the right scheme will depend on your financial situation, timeline and priorities. Every buyer is different and might not be eligible or suitable for all Queensland’s first home buyer options.
If you’re unsure which schemes you qualify for or whether they will fit into your long-term goals or financial circumstances, contact Mortgage Domayne. We can help compare schemes, outline eligibility and tailor advice to your situation.
If you’d like to chat about your plans, call us on 1300 366 296 or fill in this enquiry form.
FAQs
Can I combine more than one first home buyer scheme in Queensland?
Often, yes. The First Home Super Saver Scheme can usually be combined with other options, such as the 5% Deposit Scheme or shared equity schemes. However, shared equity schemes generally can’t be combined with each other, and not all grants or guarantees can be used together.
What happens if my income increases after I buy?
With shared equity schemes, income is monitored and higher earnings may require you to buy back some of the government’s share or exit the scheme. The 5% Deposit Scheme and First Home Super Saver Scheme don’t reassess your income after purchase.
Can I refinance or sell my home later?
Yes. If you sell under a shared equity scheme, the government receives its share of the sale price. Refinancing is usually allowed but often restricted to approved lenders. With full ownership schemes, refinancing and selling work like a standard home loan.
Which scheme is best if I want full ownership?
The 5% Deposit Scheme and the FHSS Scheme allow you to own 100% of your home, while still helping with deposit requirements or savings.
Do I need to apply myself, or through a broker?
Some steps are done directly with the government, but most schemes require you to apply through a participating lender. A mortgage broker can help you compare options and manage the process.
