ANZ Joins 5% Deposit Scheme: Big Four Now All On Board
ANZ Joins 5% Deposit Scheme: What This Means for First Home Buyers
For a long time, getting into the property market with a small deposit has been one of the biggest challenges for Australian buyers. Now, there’s a meaningful shift that could make things a bit easier.
ANZ has officially signed on to the Government's 5% Deposit Scheme, making it the last of the Big Four banks to come on board. It's a significant move; not just for ANZ, but for borrowers and brokers right across the country. So what does it actually mean for you as a buyer?
More Choice & Less Pressure: The Best Part
With all major banks now on board, first home buyers have more lender options than ever before. That’s important because different banks assess loans differently. More choice means a better chance of finding a loan that suits your situation.
The scheme allows eligible buyers to purchase a home with just a 5% deposit. Even better, eligible single parents can buy with as little as a 2% deposit. Normally, this would mean paying Lenders Mortgage Insurance (LMI), which can cost thousands. But under this scheme, LMI is waived. That’s a direct saving, and for many buyers, it’s the difference between entering the market now or waiting years.
Recent Changes Making It Easier
The scheme was expanded in October 2025, and those changes are already making a difference. Property price caps have increased, meaning more homes now fall within eligibility. Application caps have also been removed due to strong demand. This shows one clear thing: more Australians are actively using government-backed support to get into the market.
Housing Australia continues to administer the scheme, and with ANZ preparing its systems to roll out applications, we expect even more momentum in 2026. In fact, more lenders are likely to join as demand grows.
What We’re Seeing as Brokers
From a broker’s perspective, this is where things get interesting. We’re already seeing softening demand in some areas, especially in owner-occupier lending. ANZ’s housing loan book saw a slight decline in early 2026, which suggests banks are now competing harder to attract borrowers, especially first-home buyers. That competition can work in your favour. While the scheme sounds simple, the eligibility rules and lender requirements can vary. Not every buyer will qualify, and not every property will be suitable under the scheme. This is where having the right guidance really matters.
The Bigger Opportunity For You
The biggest takeaway? The barrier to entry is lower, but strategy still matters just as much. A 5% deposit loan can get you into the market sooner, but only if it actually fits your long-term goals. The last thing you want is to jump in without a clear picture of your borrowing power or what repayments look like down the track.
Ready to Take the Next Step?
Ready to make your move? For tailored advice or to discuss your buying strategy, contact ASK Financials. If you really want to take a step ahead, feel free to call us at 0433 944 055 or book a free consultation today. ASK Financials is here to guide you and help you secure the right property in the market. You can follow us on LinkedIn and Instagram as well.
