The Family Home Guarantee is an Australian Government scheme that helps single parents buy a family home.
The Family Home Guarantee is for eligible single parents or eligible single legal guardians of at least one dependent, including those who are not first home buyers. A single parent under the Scheme is one who is either divorced or has never been married. Parents who are not divorced or are in a de facto relationship are ineligible.
The purpose of the Family Home Guarantee is to support eligible single parents or single legal guardians of one or more dependent children, to buy a home. Home buyers need to have saved a minimum deposit of 2% of the Property Value and meet other eligibility criteria. For the 2025/2026 financial year, 5,000 places are available for the Family Home Guarantee.
An eligible single parent or single legal guardian is not required to be a first home buyer but must not own property at the time of entering a loan under the Family Home Guarantee. The single parent or legal guardian must meet the eligible Australian Mutual Bank’s credit assessment criteria.
By taking advantage of the Family Home Guarantee:
- You won’t need to pay lenders mortgage insurance, saving you up to $31,143.42*
- You only need to save a minimum deposit of 2% of the Property Value
- You can save thousands in interest by no longer needing to add the cost of mortgage insurance to your loan*
* Savings are estimated based on using an LMI premium calculator for a 95% LVR loan on a property valued at $900,000 and calculated on 1 July 2025.
Am I eligible?
The following eligibility criteria apply:
- Single parent / Single legal guardian – of one of more dependent children. The single parent or single legal guardian must be the only name listed on the loan and the certificate of title.
- Citizenship and permanent residency – be an Australian citizen(s) or permanent resident(s) at the Home Loan Date*.
- Income - your taxable income must be at or below the income cap - $125,000 per annum, as shown on the Notice of Assessment (for the previous financial year) issued by the Australian Taxation Office.
- Deposit – you must have minimum deposit savings of 2% of the Property Value.
- Prior property ownership – you must be a buyer who currently doesn’t own property or not have any other property interest once your new home settles.
- Owner-occupier – you must buy or build a home to live in (investment properties are not eligible).
- Minimum age – you must be at least 18 years old.
- Price cap - the property you purchase must be residential and within the Price caps set under the scheme.
You can find more information about the Family Home Guarantee and eligibility criteria on the Housing Australia Website.
* The Home Loan Date is the date you sign your home loan agreement with us.
How do I apply?
The application process is made simple and easy. Loan applications can be submitted online, and Scheme places are strictly limited.
Once received we will assess your loan for suitability and whilst doing so temporarily reserve a Scheme place for you for a period of 10 days.
Once we have verified that you meet our lending requirements and the requirements set out by the Scheme, your loan will be approved, and we will go about securing you a Scheme place for a further 90 days.
