Equifax Data Shows Spike in First Home Buyer Activity due to Changes in Federal Government’s 5% Deposit Scheme
Equifax, a leading credit reporting agency, has recently revealed a surge in First Home Buyer activity. According to the data released, there was a 14% increase in First Home Buyer activity in October 2025, alongside a significant 70% rise in demand for new First Home Buyers applying for loans specifically in the $750,000 to $1 million loan size range. This sudden spike is linked to the alterations in the Federal Government’s 5% Deposit Scheme.
Moses Samaha, executive general manager at Equifax, disclosed this information during a recent announcement. He said, “Once you account for a 5% deposit, the resulting property values sit squarely against the Federal Government’s price ceilings for most capital cities and regional centres across the country.”
Changes in the Federal Government’s 5% Deposit Scheme
The Federal Government’s 5% Deposit Scheme underwent significant changes on 1 October 2025, where placement and income limits were removed. As a result, potential homeowners found it more accessible and financially feasible to apply for home loans. The scheme’s alterations were immediately taken advantage of by first-time home buyers, indicating the effectiveness of the scheme’s adjustments.
Overall Demand for New Home Loans and Refinancing Activity
Equifax’s broader market data portrays an overall increase in demand for new home loans, with a 14.2% year-on-year rise recorded in October 2025. Mortgage demand’s substantial portion was accounted for by refinancing activity, comprising 34% of total demand. This suggests that existing homeowners are also taking advantage of low-interest rates to refinance their existing loans, thereby reducing their monthly payments.
These trends highlight the evolving landscape of the housing market and the significant role government policies play in shaping buyer behaviour. The increase in First Home Buyer activity signifies a positive shift towards homeownership, driven by supportive government measures. It also underscores the importance of schemes like the Federal Government’s 5% Deposit Scheme in making homeownership more accessible to the broader population.
For more details, check the original source Here.
