How the First Home Buyer Guarantee Makes House & Land More Affordable

Buying a first home can feel like stepping into uncharted territory, especially when you’re juggling finances, government grants, and property choices. That’s where House & Land packages shine – they simplify the process, offer great value, and, thanks to the First Home Buyer Guarantee (FHBG) changes, can open doors sooner than many buyers expect.

With the FHBG waiving tens of thousands in costs, plus today’s lending conditions easing some financial pressure, it’s never been a better time to explore the benefits. Carlisle’s House & Land experts and trusted finance partners share how buyers can maximise these opportunities.

Real savings on the table

The FHBG isn’t just a line in the budget – it’s tens of thousands in real savings. By allowing first-home buyers to purchase with as little as a 5% deposit and removing the need to pay Lenders Mortgage Insurance (LMI), buyers can avoid an upfront cost of $40–50k on homes up to the new $950k price cap for Melbourne properties.

“The scheme not only removes a major barrier but also helps borrowers access lower rates, putting them in a stronger position from day one,” explains Mark Polatkesen, General Manager at Mortgage Domayne. “Combine this with stamp duty concessions on properties under $600k, even up to $750k – you’re looking at a much more achievable pathway to homeownership.”

Why now makes sense

Market timing can feel like guesswork, but Taylah White, Carlisle’s House & Land Manager, is clear: there’s no time like the present. “We check everything so you don’t have to – quality land conditions for a sound build, premium locations, amenities to support growing families, and the best value for your dollar,” she says.

With added savings initiatives like land rebates and low-deposit schemes, buyers can put their money and energy towards the exciting aspects of an all-in-one House & Land package – such as facades, floorplan upgrades and premium interiors – instead of getting bogged down in red tape.

Market trends shaping packages

Today’s buyers don’t want to compromise on design. Facades that make a statement, open spaces that flow, and extras like butler’s pantries, home theatres and stunning alfresco areas are high on the wish list.

“Buyers continue to love showcasing a beautiful facade with a range of different materials to create a stunning streetscape,” Taylah notes. “It’s also a clever way to use the savings from the FHBG, putting them into upgrades that make a home feel truly special.”

More options with the new price cap

The FHBG price cap increase to $950k has opened the door to more choice than ever before. That means first-home buyers can now look at a much broader mix of block sizes, locations and designs – across Carlisle’s EasyLiving, Inspire and Affinity collections.

“As soon as the cap lifted, it brought a whole suite of products into play for buyers, including bigger blocks and even more desirable estates,” says Taylah. “A successful House & Land journey is about matching people to the right block and floorplan without unnecessarily limiting or hindering their hopes and dreams – exactly what the Carlisle team specialise in.”

Making the process smoother

Finance can be daunting, but it doesn’t have to be overwhelming. Mark recommends starting simple: “Always have a current credit check, be realistic about your repayments, and speak to a broker who can guide you to the right product. Don’t just focus on rates – the policies and features matter just as much in the long run.”

And with recent rate cuts over the past 12 months, borrowing power has already improved. “For an $800k mortgage, we’re seeing buyers gain back around $45–50k in borrowing capacity and reducing their monthly repayments,” Mark adds.

For Taylah, the key is choosing the right builder: “Regardless of whether you’re a first-home buyer, investor or upsizer, make sure you partner with a builder who understands your individual needs – and one who has genuine relationships with Melbourne’s leading developers to secure the best land on the market.”