“No, these schemes are mutually exclusive. They solve different problems, and you must choose the one that best fits your needs.”
The Help to Buy scheme and the First Home Guarantee are two separate federal programs with different structures. You cannot apply for both simultaneously on the same purchase.
What each scheme does
The First Home Guarantee removes the LMI requirement on a 5% deposit purchase — you borrow 95% from the lender, the government guarantees 15% of that to the lender, and you retain 100% ownership.
The Help to Buy scheme reduces the loan amount by having the government co-purchase a 30–40% equity share — you need only a 2% deposit, you borrow less, and repayments are lower, but the government owns a portion of your property.
The key difference
Under the First Home Guarantee, you own the whole property from day one. Under Help to Buy, you own 70% (or 60% for a new build) and the government owns the rest until you buy them out. These are fundamentally different ownership structures — using both simultaneously would be structurally incoherent.
How to decide which one to use
If you can save 5% and your borrowing capacity comfortably supports the full purchase price, the First Home Guarantee is usually the cleaner option — full ownership from day one, no shared equity complexity, broader lender choice. If you cannot comfortably service the full loan at current rates, or if saving even 5% is a stretch, Help to Buy’s lower deposit and smaller loan can make the numbers work when the guarantee alone doesn’t.
What you can stack with either scheme
The First Home Super Saver Scheme can be used to fund your deposit alongside either Help to Buy or the First Home Guarantee. State-level grants and stamp duty concessions also remain available alongside both federal schemes — subject to each state’s eligibility rules.
→ You may wish to speak with a licensed mortgage broker to assess your personal circumstances. This is general information only. Individual circumstances vary and scheme details change regularly. Verify current eligibility, caps, and terms with official sources before making decisions. Speak with a licensed mortgage broker for advice tailored to your situation. All loans are subject to lender approval.
Sources: Housing Australia, Australian Government Help to Buy Scheme (firsthomebuyers.gov.au); Housing Australia, First Home Guarantee 2025–26; ATO, First Home Super Saver Scheme (ato.gov.au).
