From 1 October 2025, the Australian Government’s First Home Guarantee Scheme (also known as the five per cent deposit scheme) will introduce new property price caps—a crucial update designed to reflect current market conditions.
While this might sound like another policy tweak, it has real-world implications for first-home buyers, mortgage brokers, and lenders. For many Australians, it could mean the difference between continuing to rent and finally stepping into homeownership.
What Is the Five Per Cent Deposit Scheme?
The scheme allows eligible first-home buyers to purchase a property with as little as a 5% deposit, without needing to pay Lenders Mortgage Insurance (LMI)—a saving that can amount to tens of thousands of dollars. The government guarantees the remaining 15%, enabling more people to enter the market sooner.
This is especially helpful for young professionals, single parents, and growing families struggling to save a full deposit while facing rising living costs.
Why the Updated Property Price Caps Matter
Property values have surged across capital cities and regional Australia, leaving many aspiring buyers unable to meet old cap thresholds. These new price caps, effective 1 October 2025, are designed to bring the scheme in line with real-world property prices.
Why this matters:
- More buyers will now qualify for the scheme
- It opens access to homes that were previously just out of financial reach
- It increases buyer confidence and activity in key regions
Ultimately, this update makes the dream of homeownership more attainable for everyday Australians.
What It Means for Mortgage Brokers and Lenders
For the mortgage industry, the changes signal a likely increase in loan applications and first-home buyer activity. But with increased demand comes additional workload:
- Verifying documents
- Liaising with lenders
- Managing compliance
- Meeting tight deadlines
Mortgage brokers who can move quickly and offer seamless support will stand out. But to do that at scale, many will need help.
Scaling with Confidence: The Case for Mortgage Process Outsourcing
This is where mortgage outsourcing solutions can make a real difference.
At Remote Staffing, we help mortgage brokers and lenders manage growth efficiently through access to experienced offshore loan processors and virtual mortgage support staff. Our remote teams are trained in the Australian lending environment and integrate directly into your workflow—ensuring faster turnarounds, reduced bottlenecks, and better client service.
✅ Support for document collection, application lodgements, and back-end processing
✅ Scalable staffing without long-term overheads
✅ Reduced pressure on in-house teams
Outsourcing is not just a cost solution—it’s a growth strategy. With the right b
Final Thoughts: Preparing for October 2025
The introduction of new property price caps on 1 October 2025 is a clear sign that the housing market—and government policy—is evolving.
For buyers, it’s a chance to enter the property market sooner.
For brokers and lenders, it’s an opportunity to grow—if you’re ready to handle the volume.
At Remote Staffing, we’re here to help you scale without compromise. Get ahead of the curve, strengthen your support systems, and prepare for the wave of first-home buyers entering the market this spring.