What Are the Property Price Caps for the First Home Guarantee in Sydney, Melbourne and Brisbane?
The cap in Sydney moved to $1,500,000. For most first home buyers in that city, the limiting factor is no longer the scheme — it’s borrowing capacity.
The property price caps under the First Home Guarantee were increased significantly in 2025. Many buyers are still working off the old figures — and in Sydney especially, the change opens up a meaningfully larger portion of the market.
Current Property Price Caps (2025–26)
- Sydney and NSW regional centres: $1,500,000
- Melbourne and Geelong: $950,000
- Brisbane and Queensland regional centres: $1,000,000
- Perth: $850,000
- Adelaide: $850,000
- ACT: $1,000,000
- Darwin: $800,000
- Hobart: $800,000
- Other regional areas: between $550,000 and $800,000 depending on location
What the Caps Mean in Practice
The cap is the maximum purchase price at which the scheme can be used — not the maximum loan amount. For most first home buyers in Sydney, Brisbane, and Melbourne, the cap is no longer the binding constraint. Borrowing capacity — shaped by income, debts, and the serviceability buffer — is usually what sets the actual limit.
New Builds and Established Properties
The current caps apply to both new builds and established homes. Earlier versions of the scheme restricted price limits for established properties in some states — that distinction no longer applies under the current rules.
You may wish to speak with a licensed mortgage broker to assess your personal circumstances.
This is general information only. Property price caps are subject to change. Confirm current figures with Housing Australia before applying. All loans are subject to lender approval.
Sources: Housing Australia, First Home Guarantee Scheme 2025–26; NHFIC Property Price Cap Schedule; CoreLogic Median Property Values Report 2025.
