First Home Loan Deposit Scheme – New Home Guarantee (NHG)

First Home Loan Deposit Scheme - New Home Guarantee (NHG)

As part of the 2020-21 Federal Budget, the Australian Government has committed an additional 10,000 FHLDS New Home Guarantee (NHG) places for the 2021-22 financial year, specifically for eligible first home buyers purchasing new homes.

MyState are able to secure FHLDS New Home Guarantee (NHG) reservations for eligible new properties purchased. Register your interest in the FHLDS New Home Guarantee (NHG) here.

The FHLDS New Home Guarantee (NHG) has been established to support the Australian Government’s economic stimulus measures and create jobs in the residential construction sector.

The additional 10,000 FHLDS New Home Guarantee (NHG) places are available for eligible first home buyers to build a new dwelling or purchase a newly built dwelling with a deposit of between 5 and 20 per cent of the property’s value (lenders criteria applies). A revised set of property price caps applies specifically for eligible properties under the FHLDS New Home Guarantee (NHG).

Make an appointment with a MyState Bank lender to start your application

What is a 'new home'?

Eligible FHLDS New Home Guarantee (NHG) properties include:

  • newly constructed dwellings (e.g. whether a freestanding house, townhouse or apartment)
  • off-the-plan dwellings* (e.g. whether a freestanding house, townhouse or apartment)
  • house and land packages*

Under the MyState policy, for the building of a new home, a combined land purchase and construction contract is required on submission. We do not accept a separate land purchase with later construction.

To be eligible, the borrower purchasing the newly built dwelling must be a first home buyer.

* MyState is currently accepting applications for the purchase of newly constructed dwellings only.

Who is eligible?

The eligibility criteria for the FHLDS New Home Guarantee (NHG) is the same as the criteria for the FHLDS. Applicants must:

  • be Australian citizens
  • be at least 18 years old
  • be first home buyers who have not previously owned, or had an interest in, a property in Australia, either separately or jointly with someone else (this includes residential strata and company title properties)
  • have between 5 and 20 per cent of the value of an eligible property for the loan deposit
  • have a taxable income of up to $125,000 per annum for the previous financial year (if applying as a single applicant)
  • have a combined taxable income of up to $200,000 per annum for the previous financial year (if applying as a couple* application)
  • intend to be owner occupiers of the property**

You need to satisfy all these checks to qualify for the FHLDS New Home Guarantee (NHG). If you don’t meet the requirements for one or more of these checks, or have questions about any of these matters, you should seek advice on your application from a participating lender.

* Only single (individuals) or couples are eligible for the FHLDS New Home Guarantee (NHG). Couples are defined as those who are married or in a de-facto relationship with each other. Other persons buying together, including siblings, parent/child or friends, are not eligible for the FHLDS New Home Guarantee (NHG).

** Investment properties are not eligible for the FHLDS New Home Guarantee (NHG). In the case of active Australian Defence Force member applicant(s), the guarantee is not subject to the owner-occupier requirement after entering into the loan if they cannot meet this requirement because of their duties.

What are the revised property price caps?

A revised set of property price caps will apply specifically for eligible properties under the FHLDS New Home Guarantee (NHG) and are detailed in the table below.

Region FHLDS New Home Guarantee (NHG) property price cap
TAS – capital city $550,000
TAS – other $400,000
NSW – capital city $950,000
NSW – regional centre (Newcastle and Lake Macquarie) $950,000
NSW – regional centre (Illawarra) $950,000
NSW – other $600,000
VIC – capital city $850,000
VIC – regional centre (Geelong) $850,000
VIC – other $550,000
QLD – capital city $650,000
QLD – regional centre (Gold Coast) $650,000
QLD – regional centre (Sunshine Coast) $650,000
QLD – other $500,000
WA – capital city $550,000
WA – other $400,000
SA – capital city $550,000
SA – other $400,000
ACT $600,000
Northern Territory $550,000
Jervis Bay Territory & Norfolk Island $600,000
Christmas Island & Cocos (Keeling) Island $400,000