The realities of the great Australian dream
Buying a home is a big financial commitment. Most lenders require a deposit of at least 20%, or Lenders Mortgage Insurance (LMI) applies, making saving for a deposit a real barrier to home ownership.
How could you get into your own home sooner?
With the Australian Government initiated Home Guarantee Scheme, you could fast-track your home ownership dreams with one of three guarantee options.
Benefit from interest rates normally reserved for deposits of 20% or more.
Shave years off the usual time it would take to save a deposit.
No Lenders Mortgage Insurance means you could save thousands.
Am I eligible for a government guarantee?
You’ll need to meet at least the following criteria to be eligible for a guarantee under the Home Guarantee Scheme:
- Australian citizen(s) or permanent resident(s) over the age of 18
- Applying for an owner occupier home loan with principal and interest repayments
- Taxable income of no more than $125k (single applicants) or $200k (joint applicants) based on prior financial year Notice of Assessment
- First home buyer or previous home buyer who hasn't owned a home in the past 10 years (First Home Guarantee or Regional First Home Buyer Guarantee) or single parents or single legal guardians with at least one dependent child who don’t currently own a home (Family Home Guarantee)
- Minimum 5% deposit (First Home Guarantee or Regional First Home Buyer Guarantee), or minimum 2% deposit (Family Home Guarantee)
Which guarantee would suit you? Tell us who you are
Applying is simple
1. Start a conversation
Book an appointment and tell us about you. We’ll see how much you could borrow, letting you know before the credit check. There’s no obligation until you accept your rate and loan offer.
2. Loan approval
A Westpac lending specialist will walk you through the entire process, from which guarantee under the scheme might best suit your situation to the home loan that best fits your needs now and into the future.
You’ll need to purchase your home within 90 days of approval on the Home Guarantee Scheme.
3. On to settlement
Your lender will finalise your loan through to settlement. Accept our loan offer, and that’s it.
Frequently asked questions
Lenders Mortgage Insurance (LMI) will NOT be applicable if your loan is supported by a guarantee under the Home Guarantee Scheme, but so that you understand what it is, it’s a charge that most lenders require if a home loan deposit is less than 20%. This protects the lender if you can’t repay the loan. It can either be added to your loan or paid upfront.
As you’ll not be required to pay LMI, even though your deposit may be as low as 2% (Family Home Guarantee) or 5% (First Home Guarantee or Regional First Home Buyer Guarantee), you’ll make significant savings.
Things you should know
Home Guarantee Scheme eligibility criteria apply. Conditions, credit criteria, fees and charges apply. Based on Westpac's credit criteria, residential lending is not available for Non-Australian Resident borrowers. This information has been prepared without taking your objectives, needs and overall financial situation into account. For this reason, you should consider the appropriateness of the information and, if necessary, seek appropriate professional advice.
Once our allocation of loans under the scheme has been exhausted, standard lending approval criteria, including the need for LMI and LDP where appropriate, will apply.
To find out more visit the Home Guarantee Scheme website.
+LVR stands for the loan-to-value ratio. LVR is the amount of your loan compared to the Bank’s valuation of your property offered to secure your loan expressed as a percentage. Home loan rates for new loans are set based on the initial LVR and won’t change during the life of the loan as the LVR changes.
^^^Flexi First Option special offer rates with Principal & Interest repayments
Special offers are only available on new Flexi First Option Home and Investment Loans with Principal & Interest repayments. Discounts do not apply to internal refinances or switches within the Westpac Group, which includes refinances from Westpac, St.George, Bank of Melbourne, BankSA and RAMS. Not available to company and trust account holders. Offer may be varied or withdrawn at any time. Interest rates are subject to change:
- For a property to live in (Owner occupier): Offer commences 24/11/2023. Includes a 1.64% p.a. discount for two years from the loan settlement date, at the end of the period it will revert to a 1.24% p.a. discount for the life of the loan.
- For an investment property: Offer commences 24/11/2023. Includes a 1.89% p.a. discount for two years from the loan settlement date, at the end of the period it will revert to a 1.49% p.a. discount for the life of the loan.
Westpac Banking Corporation ABN 33 007 457 141 AFSL and Australian credit licence 233714.