If you are in the market for your first home in the Wagga Wagga region, we recommend that you act quickly, due to the recent spike in market activity in the sub $600,000 price range.
The good news is that from the 1st October 2025, the Australian Government rolled out major changes to the First Home Guarantee, part of the broader Home Guarantee Scheme. These updates are designed to make it easier and more affordable for first-home buyers to enter the property market.
Key Changes First-Home Buyers Need to Know
- Unlimited places: The previous cap on applications has been removed, ending long waiting lists and making the scheme accessible to all eligible buyers.
- Higher property caps: Updated property price limits now better reflect current market conditions, giving buyers more flexibility in choosing a home.
- No income restrictions: The scheme is now open to all first-home buyers, regardless of income. Couples and singles alike can apply without worrying about previous limits.
- Lower deposits required: Buyers can now secure a home with a deposit as low as 5%, without paying expensive Lenders Mortgage Insurance (LMI), which normally kicks in at a 20% deposit.
Under the updated scheme, the government guarantees a portion of the loan to participating lenders, helping buyers rely less on large savings or parental assistance.
Wagga Mortgage broker Dwayne Nicholls from Home Loan Headquarters explains:
"The increased price caps mean first-home buyers will have more choice where they can purchase. Removing income limits and lowering deposit requirements makes home ownership more attainable for thousands of households."
Importantly for our region, the maximum purchase price has been increased to $800,000, meaning First Home Buyers in Wagga Wagga expect a maximum deposit of just $40,000, plus the added savings of no Lender’s Mortgage Insurance and no Stamp Duty.
Preparing for the Updated First Home Guarantee
Buyers planning to take advantage of these changes should:
- Check eligibility criteria to ensure they qualify.
- Understand the updated property caps to know which homes fall within the scheme.
- Engage early with participating lenders to get clarity on the application process and secure their spot.
Here at Fitzpatricks Real Estate we have a team that are happy to answer all questions and guide you through the daunting, yet exciting process of purchasing your first home.
Contact one of our Sales Team today.
