Invest
Reality check for first home buyers: Affordable suburbs with 5% deposit
Invest
Reality check for first home buyers: Affordable suburbs with 5% deposit
In a significant development for Australian first home buyers, a new property search tool from Aussie Home Loans is set to transform the way prospective homeowners approach the market. As the Federal Government's First Home Guarantee scheme becomes available to eligible buyers from tomorrow, this innovative tool offers a clear path for entering the property market with just a 5% deposit.
Reality check for first home buyers: Affordable suburbs with 5% deposit
In a significant development for Australian first home buyers, a new property search tool from Aussie Home Loans is set to transform the way prospective homeowners approach the market. As the Federal Government's First Home Guarantee scheme becomes available to eligible buyers from tomorrow, this innovative tool offers a clear path for entering the property market with just a 5% deposit.
The First Home Guarantee Calculator, unveiled by Aussie Home Loans, identifies affordable suburbs across the country where first-time buyers can purchase a house or unit based on their savings. This comes as a much-needed solution for many Australians eager to step onto the property ladder but held back by the daunting task of saving for a substantial deposit.
The tool's insights highlight suburbs such as Edgeworth in New South Wales, Melton South in Victoria, and Beaudesert in Queensland as viable options for those with a 5% deposit. These findings aim to bridge the knowledge gap that often leaves first home buyers overwhelmed and unsure of where to start their property search.
Aussie Mortgage Broker, Tracey Hammond, emphasised the importance of aligning expectations with financial realities. "The disconnect between a dream home and financial reality can lead to missed opportunities, prolonged searches, and the risk of overpaying or buying a property that leaves them with little financial buffer," she said. Hammond further noted that the challenge of saving for a deposit is not just a millennial issue but one that cuts across generations. "The new First Home Guarantee is a game changer, allowing many to enter the market with just a 5% deposit," she added.
The tool is designed to help buyers make informed decisions by showcasing affordable suburbs that might otherwise be overlooked. "Because there are so many areas to search, many affordable suburbs are overlooked. The First Home Guarantee Calculator puts affordable suburbs on the shortlist," Hammond explained. This empowers first-home buyers to start their property journey sooner, rather than delaying until the market becomes even more inaccessible.
The calculator's state-by-state breakdown provides a clear picture of where first home buyers can realistically purchase property. For instance, in New South Wales, suburbs like Edgeworth, Dapto, and Blackheath are highlighted as affordable for those with average savings of $59,982.60. In Victoria, with average savings of $38,708.40, suburbs such as Melton South, Wyndham Vale, and Brookfield are within reach. Queensland's affordable options include Beaudesert, Bethania, and Caboolture South, based on average savings of $44,974.60.
Western Australia's property market, with average savings of $49,609.10, offers affordable houses in Gosnells, Midland, and Balga. Meanwhile, in Tasmania, where the average savings amount to $37,553.60, suburbs like Carlton, West Moonah, and Moonah present viable options. The ACT and Northern Territory also feature affordable suburbs, with average savings of $28,617.90 and $68,147.70, respectively.
Hammond stresses the importance of making informed decisions early in the property journey. "With the Calculator, first-home buyers can make informed decisions about affordability to start their property journey sooner and work towards their dream home," she said. This approach not only saves time but also helps buyers avoid the pitfalls of unrealistic expectations and the risk of overextending financially.
The launch of the First Home Guarantee Calculator comes at a crucial time when many Australians are grappling with the fast-paced property market and the ever-increasing cost of homeownership. By providing a realistic assessment of what is achievable with a 5% deposit, the tool aims to empower first home buyers to take the first step towards homeownership with confidence.
As the First Home Guarantee scheme rolls out, eligible buyers now have a powerful resource at their disposal to navigate the property market effectively. With the ability to pinpoint affordable suburbs and align their expectations with their financial situation, first home buyers are better equipped than ever to make their dream of homeownership a reality.
RELATED ARTICLES
Property
Multigenerational living is moving mainstream: how agents, developers and lenders can monetise the shift
Australia’s quiet housing revolution is no longer a niche lifestyle choice; it’s a structural shift in demand that will reward property businesses prepared to redesign product, pricing and ...Read more
Property
Prestige property, precision choice: a case study in selecting the right agent when millions are at stake
In Australia’s top-tier housing market, the wrong agent choice can quietly erase six figures from a sale. Privacy protocols, discreet buyer networks and data-savvy marketing have become the new ...Read more
Property
From ‘ugly’ to alpha: Turning outdated Australian homes into high‑yield assets
In a tight listings market, outdated properties aren’t dead weight—they’re mispriced optionality. Agencies and vendors that industrialise light‑touch refurbishment, behavioural marketing and ...Read more
Property
The 2026 Investor Playbook: Rental Tailwinds, City Divergence and the Tech-Led Operations Advantage
Rental income looks set to do the heavy lifting for investors in 2026, but not every capital city will move in lockstep. Industry veteran John McGrath tips a stronger rental year and a Melbourne ...Read more
Property
Prestige property, precision choice: Data, discretion and regulation now decide million‑dollar outcomes
In Australia’s prestige housing market, the selling agent is no longer a mere intermediary but a strategic supplier whose choices can shift outcomes by seven figures. The differentiators are no longer ...Read more
Property
The new battleground in housing: how first-home buyer policy is reshaping Australia’s entry-level market
Government-backed guarantees and stamp duty concessions have pushed fresh demand into the bottom of Australia’s price ladder, lifting values and compressing selling times in entry-level segmentsRead more
Property
Property 2026: Why measured moves will beat the market
In 2026, Australian property success will be won by investors who privilege resilience over velocity. The market is fragmenting by suburb and asset type, financing conditions remain tight, and ...Read more
Property
Entry-level property is winning: How first home buyer programs are reshaping demand, pricing power and strategy
Lower-priced homes are appreciating faster as government support channels demand into the entry tier. For developers, lenders and marketers, this is not a blip—it’s a structural reweighting of demand ...Read more
Property
Multigenerational living is moving mainstream: how agents, developers and lenders can monetise the shift
Australia’s quiet housing revolution is no longer a niche lifestyle choice; it’s a structural shift in demand that will reward property businesses prepared to redesign product, pricing and ...Read more
Property
Prestige property, precision choice: a case study in selecting the right agent when millions are at stake
In Australia’s top-tier housing market, the wrong agent choice can quietly erase six figures from a sale. Privacy protocols, discreet buyer networks and data-savvy marketing have become the new ...Read more
Property
From ‘ugly’ to alpha: Turning outdated Australian homes into high‑yield assets
In a tight listings market, outdated properties aren’t dead weight—they’re mispriced optionality. Agencies and vendors that industrialise light‑touch refurbishment, behavioural marketing and ...Read more
Property
The 2026 Investor Playbook: Rental Tailwinds, City Divergence and the Tech-Led Operations Advantage
Rental income looks set to do the heavy lifting for investors in 2026, but not every capital city will move in lockstep. Industry veteran John McGrath tips a stronger rental year and a Melbourne ...Read more
Property
Prestige property, precision choice: Data, discretion and regulation now decide million‑dollar outcomes
In Australia’s prestige housing market, the selling agent is no longer a mere intermediary but a strategic supplier whose choices can shift outcomes by seven figures. The differentiators are no longer ...Read more
Property
The new battleground in housing: how first-home buyer policy is reshaping Australia’s entry-level market
Government-backed guarantees and stamp duty concessions have pushed fresh demand into the bottom of Australia’s price ladder, lifting values and compressing selling times in entry-level segmentsRead more
Property
Property 2026: Why measured moves will beat the market
In 2026, Australian property success will be won by investors who privilege resilience over velocity. The market is fragmenting by suburb and asset type, financing conditions remain tight, and ...Read more
Property
Entry-level property is winning: How first home buyer programs are reshaping demand, pricing power and strategy
Lower-priced homes are appreciating faster as government support channels demand into the entry tier. For developers, lenders and marketers, this is not a blip—it’s a structural reweighting of demand ...Read more
