Supporting home ownership: Prashant’s story
For Prashant and his family, buying a home felt increasingly difficult despite years of hard work and careful saving. After renting for nearly 7 years, the challenge of building a 20% deposit, while housing prices and interest rates continued to rise, made home ownership seem hard to achieve.
“Saving that 20% deposit was the biggest challenge,” Prashant said. “By the time we got close to having a deposit saved, house prices had already gone up again.”
While searching for a home, Prashant learned about the Australian Government 5% Deposit Scheme. At the time, interest rates were increasing and borrowing capacity remained tight, but the Scheme offered an opportunity to move forward sooner than anticipated.
“When we found out about the Scheme, it changed everything,” he said. “It really enhanced our borrowing capacity because we didn’t have to pay lenders mortgage insurance.”
By removing the need for a 20% deposit and removing the cost of lenders mortgage insurance, the Scheme allowed Prashant to buy his first home earlier, rather than continuing to chase a moving target while renting.
“For us, this helped us move at least one step up from where we thought we would be,” he said.
Although Prashant broadened his property search beyond his initial preferences, he was ultimately able to buy a home that met his needs and felt like the right choice for his family.
“We had to look a bit wider,” he said. “But we ended up with something we’re really happy with.”
Now settled in their new home, Prashant says the change has been immediate - providing greater stability, certainty and peace of mind for him and his family.
“This is much better than what we were going through before,” he said. “We have more flexibility now, and we’re confident about where we are and contributing to the local community.”
For Prashant, the 5% Deposit Scheme helped turn years of renting and uncertainty into a secure future as a home owner, making a lasting difference to his family’s long‑term outlook.