What the 5% Deposit Scheme Means – And How I Can Help You Today

With the government’s 5% deposit guarantee scheme kicking off in January 2026, there’s been a lot of noise and excitement — and rightly so. The idea of buying a home with just a 5% deposit and no LMI is a game-changer for many Aussies who’ve been stuck on the sidelines.

But here’s the truth...

If you wait until January 2026 to start planning, you’re already behind.

Here’s why acting early makes sense – and how I can help you get ahead.

The competition is going to heat up — hard.

When this scheme launches, first home buyers will flood the market. We’ve seen it before — when similar programs roll out, demand spikes, stock gets tight, and prices push up in the entry-level range.

I believe we’ll see strong growth and competition building towards the end of 2025 and into early 2026. Buyers who are ready and active before that wave hits will be in a far stronger position to secure the right property — without overpaying or getting caught up in bidding wars.

My job is to make sure you're prepared and strategic. That means:

• Targeting the right suburbs before the rush hits.

• Helping you line up your finances, deposit, and pre-approvals early.

• Guiding you through properties now that are likely to surge in demand come 2026.

Terrigal Beach

2. 5% deposit doesn’t mean “cheap and easy”

Yes, you only need 5% saved… but:

• You still need to qualify with your bank on serviceability.

• You’ll still need upfront costs for things like legals, inspections, and stamp duty (unless you qualify for exemptions).

• You need a plan that sets you up for the long-term — not just the short-term win of getting in.

From January 2026, price caps are being increased across the board — up to $1.5 million in parts of NSW, and $1 million in metro and regional QLD. That opens up way more options for first-home buyers in markets I work in regularly, like the Central Coast, Newcastle, Brisbane, Toowoomba and surrounds.

That’s where I come in. I’ve worked with clients who’ve bought with 5%, 10%, and 20% deposits. I help you buy smart — not just get in the door.

3. This isn't about waiting — it’s about positioning

Waiting until 2026 might sound smart on paper. But ask yourself:

• Will the right property still be affordable by then?

• Will you miss other opportunities in 2025 that could’ve set you up better?

• What if the best way to buy isn’t via this scheme?

Right now, there are still good homes coming up, off-market deals, and vendors who are open to flexible terms. I'm across that stuff every day — and I bring those to my clients before they’re all over Domain.

North Avoca - Central Coast, NSW

Final word

If you're a first-home buyer thinking “maybe 2026 is our year,” that’s great — but don’t wait to get your ducks in a row. Whether you're 6 months away or 12, I can:

• Help you build a property strategy that suits you

• Connect you with great brokers and financial planners

• Get you in front of opportunities early

• Make sure when January 2026 rolls around, you’re ready — not reacting

Want to chat through what this could look like for you or someone you know?

Give me a call or shoot me a email — no hard sell, just honest advice.

Cheers,
Mitch Keen
Keen Acquisitions - Buyers Agency