17 Feb

Help to Buy Shared Equity Scheme 2026: Government Owns 40%


Meta Title: Help to Buy Shared Equity Australia 2026: Full Guide & Calculator

Meta Description: Help to Buy shared equity scheme 2026 Australia explained. Government takes 40% ownership, you buy back later—no repayments, first buyer solution.

Shared equity sounds alien: “Government owns 40% of my house?” First-home buyers pause, torn between rent frustration and co-ownership weirdness.

Clear answer: Help to Buy 2026 lets government fund 40% equity (no repayments), you provide 5-30% deposit, borrow 60% market loan. Buy back government’s share anytime at pro-rata value. No LMI, low deposit entry.

Shared Equity Math ($800k House)

Component

Your Share

Gov Share

Bank Loan

Purchase

$480k (60%)

$320k (40%)

$480k

Deposit Needed

$40k (5%)

$0

$0

Total Upfront

$40k

$0

$0

Real Shared Equity Journey: Priya, $95k income, $42k savings. $820k Melbourne unit: $41k deposit (5%), $492k bank loan (60%), $287k government (35%). Monthly P&I $2,950 vs $2,800 rent. Year 4: refinanced, bought 50% gov share. “Owned 100% outright, no LMI ever.”

Buy-Back Flexibility (No Lock-In)

Sell house: Government gets 40% sale proceeds. Refinance: Buy back any percentage. No minimum repayment, no interest charged. Market growth benefits both parties proportionally.

Eligibility 2026:

  • Income <$90k single, $120k couples
  • First-home buyer
  • Property $1M max (higher regional)
  • Australian citizen

Hidden Winner: No LMI ever ($25k saved). Lower repayments (60% loan vs 95%).

Reality Check: Government share grows with market. Limited places annually.

About the Author: TH Mortgage Solutions shared equity specialist.

FAQs
Does gov get rental income? No—you keep 100%.
Sell after 2 years? Yes—gov gets pro-rata gain.



 

 

 

 

 

 

 

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