For many aspiring first home buyers, saving a traditional 20% deposit can feel like the biggest hurdle to getting into the market. But recent changes to the Australian Government’s 5% Deposit Scheme are opening the door for more buyers to purchase a home sooner, and with fewer upfront costs.
If you’ve been thinking about buying or building your first home in a well-connected, established community, Meridian in Clyde North is worth exploring.
What is the 5% Deposit Scheme?
The 5% Deposit Scheme is a Federal Government initiative designed to help eligible first home buyers (and those who have not owned a property in over 10 years) purchase a home with a lower upfront deposit.
From 1 October 2025, changes to the Scheme have made it even more accessible, with:
- No income caps
- No waitlists
- No Lenders Mortgage Insurance (LMI)
These changes can significantly reduce upfront costs and help buyers move into home ownership sooner.
Under the Scheme, the Australian Government guarantees part of the home loan, allowing eligible buyers to purchase with as little as a 5% deposit. The Scheme can be used to buy a range of property types, including apartments, established homes or building a new home on vacant land.
How It Works
Whether you’re actively searching for house and land packages, or just starting to explore, here’s how to make the most of the Scheme:
1. Check your eligibility
Start by reviewing the Government’s eligibility criteria using their online tools, including citizenship requirements and property price caps that vary by postcode.
2. Speak with your Mortgage Broker or participating lender
Reach out to your broker or a participating lender to understand your borrowing capacity, options and potential pre-approval.
3. Prepare your deposit and upfront costs
With the Scheme, eligible buyers may only need a 5% deposit, helping shorten the time spent saving. You should still allow for other costs such as stamp duty (concessions or exemptions may apply for first home buyers), conveyancing or other legal fees.
4. Choose a home that fits your lifestyle and budget
The Scheme is designed to support sustainable home ownership. It’s important to select a home and loan repayments that feel comfortable both now and into the future.
5. Pay your 5% land deposit
Once you have chosen your block and your builder and your Finance has been conditionally approved, you will pay us 5% of the purchase price of the land as your deposit. This secures your block.
Why Meridian is a Smart Choice for First Home Buyers
Choosing the right community is just as important as choosing the right home. Meridian offers a balanced lifestyle with strong connectivity, established amenity and long-term growth potential — all key considerations for first home buyers.
Located in Clyde North, Meridian is a thriving masterplanned community now home to more than 2,000 families, where everyday convenience is within easy reach.
Here’s what makes Meridian so special:
- Direct access to the M1 Freeway via Hardys Road, making commuting to Melbourne and surrounding employment hubs simpler and more efficient.
- Established parks, wetlands and walking trails, supporting an active, outdoor lifestyle.
- Schools, childcare and local services nearby, ideal for young families.
- Proximity to major shopping and lifestyle destinations, including Summit Business Park, St Germain Central, Cranbourne, Berwick and Casey Central.
With a strong existing community and future amenity planned, Meridian offers first home buyers confidence not just in their purchase, but in the lifestyle that comes with it.
Your First Home Could Be Closer Than You Think
With the Australian Government’s updated 5% Deposit Scheme now offering broader access, and communities like Meridian providing location, lifestyle and connectivity, your first home may be closer than you think.
To learn more about the Scheme, visit the official Government website or speak with your mortgage broker or a participating lender today. And in the meantime, explore current house & land opportunities at Meridian. This could be the place you start your home ownership journey!
For more insights and advice to guide you through your home buying and building process, download our FREE First Home Buyers Guide! From grants and government schemes to choosing the right builder, it’s your go-to resource for all things first home.
