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Eligible home buyers in Western Australia can now access the federal government’s Help to Buy shared equity scheme, following the passage of the Help to Buy (Commonwealth Powers) Bill 2025.
Around 1,100 low- to middle-income earners in Western Australia are expected to benefit.
Help to Buy, which launched on 5 December 2025 in other states and territories (barring Tasmania, which is yet to pass legislation to enact the scheme), helps first home buyers enter the market sooner by reducing the upfront cost of purchasing a property.
Instead, borrowers can co-purchase a property with the federal government. Under the scheme, the government contributes up to 40 per cent for new homes and 30 per cent for existing properties for eligible owner-occupiers.
Individuals earning up to $100,000 or couples up to $160,000 can buy homes costing up to $850,000 in Perth or $600,000 in regional Western Australia with just a 2 per cent deposit, lowering both upfront costs and ongoing repayments.
Currently, only CBA and Bank Australia offer Help to Buy loans, with Bank Australia the only lender accessible via brokers (though more lenders are expected to join between March and June 2026).
While the scheme aims to boost affordability, brokers are now warning that limited lender participation, tight regional caps, and reduced broker access will hamper the scheme’s efficacy.
‘Brokers key to success’
Adam Donald, finance professional at Leederville-based brokerage Capita Finance, said that while he believed the scheme was a “good idea in principle”, its efficacy will “come down to how practical it is in the real world”.
Speaking to Broker Daily, he explained: “For eligible low-to-middle income earners, it will absolutely help bridge the deposit gap, which is still the biggest hurdle for first home buyers in WA. We’re seeing plenty of clients who can comfortably service a loan but are stuck renting because getting the deposit together, while rents keep climbing, is incredibly hard.
“Shared equity can be the difference between staying on the sidelines and actually getting into the market.”
However, he said that access is a major issue: “Brokers are often the ones helping first home buyers understand the trade-offs, the long-term implications, and whether a shared-equity structure actually makes sense for them. Cutting brokers out of the process reduces choice and adds friction for the very people the scheme is meant to help.
“If Help to Buy is going to work properly, it needs broader lender participation and full broker channel access… Without that, there’s a real risk the scheme looks good on paper but doesn’t get used as much as it should.”
‘Too little, too late’
Robert Flynn, director and finance consultant of Vorteil Financial Group, said he was concerned that the scheme may be “a case of too little, too late”.
According to the Western Australia-based broker, the “theory and intent behind the scheme is good”, but warned that property caps were too low and would only exacerbate the supply issue.
“The $850,000 price point for Perth metro is the same as the 5 per cent Deposit Scheme cap, and we’re already seeing incredibly tight housing supply at those levels. The $600,000 cap for areas outside of Perth also makes it very difficult for a lot of people in regional locations (for example, Busselton), where we’re already seeing clients priced out of modest homes that are selling well over $800,000,” he told Broker Daily.
“Given the current state of the market, there is probably also a case for reviewing the eligibility criteria, including higher income limits and higher property price caps. Of course, this is a double-edged sword, as increasing those thresholds can also put upward pressure on prices in those brackets.
“While schemes like this are well-intentioned and aimed at helping people into the market, they can have the unintended consequence of pushing prices higher and making affordability challenges worse overall. I’d like to see more focus on what can be done on the supply side to address the underlying problem.
“As a result, the scheme feels like it has rolled out too late to benefit many of the people who need it most.”
Flynn said he also hoped that more lenders would be brought online quickly, particularly given that only one lender is offering the scheme through the broker channel.
“Not every client will suit the products currently available, and limited choice ultimately detracts from consumer outcomes,” he said.
‘Unrealistic price caps for regional WA’
Regional broker Eli Hayes, a Mortgage Choice broker in Albany, said that while the Help to Buy scheme is “a valid option for those unable to tap the bank of Mum and Dad for deposits or lacking borrowing capacity for Keystart loans”, it could “act as a double-edged sword” by increasing demand.
Hayes suggested that without matching supply growth, it would just “push prices upward long-term, with buyers often paying well above posted values and locking out others amid tight rentals”.
She told Broker Daily that she also thought the regional price cap of $600,000 for regional Western Australia was not high enough.
“Major regional towns such as Albany, Busselton and Geraldton have seen sharp price growth over the last few years, with family homes in good locations frequently listing well above $600,000, especially near the coast or close to key amenities,” she said.
“This means the regional price cap lags reality in these markets, so otherwise eligible first home buyers who meet the income and deposit criteria cannot actually find suitable stock that qualifies under the scheme.
“This means many buyers in growth centres, like Albany, are effectively locked out of Help to Buy, despite being exactly the low‑ to middle‑income households the scheme is meant to support.”
Hayes said she would like to see regional centres have a similar price cap as the Perth metro price limit ($850,000) to “recognise that these cities now function as higher‑priced lifestyle and employment hubs rather than ‘cheap’ country markets”.
The Mortgage Choice broker concluded: “Aligning caps would let regional buyers genuinely use Help to Buy as intended, giving them comparable access to shared‑equity support instead of forcing them to move, over‑stretch on non‑scheme loans, or sit out of the market despite rising regional rents and low vacancy rates.”
‘Critical that brokers are involved’
Adam Burstein, managing director of Core Finance, said that he believed the Help to Buy scheme was a “really positive step for WA”, particularly for lower-income earners who have been “completely priced out over the last few years and honestly have no chance of home ownership”.
“Shared equity gives them a genuine foot in the door instead of being stuck renting with no clear pathway forward,” he said.
However, he also warned that the scheme may inadvertently result in pushing up house prices.
“We are already in an extremely tight market, with stock levels currently the lowest on record here in WA. Further demand, especially government-backed demand, is likely to push prices higher, particularly in the sub $850,000 range. I then expect this to roll into higher price brackets as people achieve strong sale prices and upgrade their homes,” Burstein said.
“This doesn’t just impact buyers in the scheme, it makes it harder for everyone who doesn’t qualify.
“More competition, higher prices and less ability to negotiate is the reality in a supply-constrained WA market. Not to forget, higher prices also mean higher transaction costs like stamp duty, adding even more pressure.”
Burstein also said he believed it was “critical that brokers are involved in this scheme”, particularly as schemes such as this require a lot of explanation and education.
“Brokers don’t just submit applications, we educate clients. We often spend months helping people clean up their position, understand their options, build savings habits and actually get finance ready. Going direct to a bank is generally a yes or no conversation. You rarely get that ongoing relationship, guidance and care that helps turn a long-term renter into a home owner,” he said.
“If Help to Buy is going to reach the people it’s designed for, broker access is essential. Without that education piece, many eligible buyers won’t even know the option exists or understand how to navigate it properly, and they’ll miss out altogether, which makes the whole scheme lose its impact.
“If the goal is to genuinely help more Australians into homes, blocking the very channel that educates and prepares these buyers doesn’t make much sense.”
A sigh of relief for home buyers
However, for Narinder Singh, senior Finance Broker at Indoz Finance Australia, the Help to Buy scheme would be “a lifeline for many Australians”, particularly “given the current state of the housing market”.
He told Broker Daily that the scheme means lower-to-middle income earners could make purchases sooner than they could on their own, bringing them a “sigh of relief” and saving them money as they do not need to save for a sizeable deposit or pay lenders mortgage insurance (LMI).
Singh therefore suggested that the Help to Buy scheme would help reduce monthly repayments for borrowers, reduce the risk of “over borrowing”, and minimise “deposit stress”.
However, he suggested that the government could improve the scheme further: “Permanent residents should also be part of this scheme as price caps and eligibility conditions mean that the scheme will help only a small slice of overall market and may not actually solve the root problem of lack of housing supply.”
He added that it was imperative more lenders join the scheme to ensure that turnaround times do not blow out at the two current lenders and open it up to more brokers.
Singh concluded: “Overall, this scheme aims to bridge gaps, unlock new opportunities and turn long-held dreams into new beginnings.”
What do you think of the Help to Buy scheme? Let us know in the comments below!
[Related: Brokers not included in CBA Help to Buy offering]