Shared Equity Scheme Pros

Shared Equity Scheme

Teachers, Nurses, Police Officers, Single Parents, and people over the age of 50 are all protected by new shared equity scheme. 

The NSW Government’s $780.4 million shared equity scheme passed Parliament today. This means that thousands of teachers, nurses, police officers, single parents, and older single people will be able to buy their own home sooner.

What is the scheme of shared equity?

The NSW Government will pay a portion of a property’s purchase price in exchange for an equal share of the property’s ownership. The equity contribution from the NSW Government is up to 40% of the price of a new home and up to 30% of the price of an existing home. The buyer must put down at least 2% of the price of the home, and the lender does not have to pay for mortgage insurance. The equity contribution doesn’t have to be paid back, and rent or interest won’t be charged as long as a participant is still eligible for the scheme. People can make payments on their own to move towards full ownership of their property.


Under the scheme:

  • Up to 3,000 spots will be available each year in 2022-23 and 2023-24
  • Key worker first home buyers who are nurses, teachers or police officers – as well as singles over 50 and single parents with a child or children up to 18 – can apply
  • Participants must have a maximum gross income of $90,000 for singles and $120,000 for couples
  • Participants must have a minimum deposit of 2 per cent of the purchase price
  • The Government will make a maximum equity contribution of 40 per cent for a new home and 30 per cent for an established home
  • The maximum value of the property that can be purchased under the scheme is $950,000 in Sydney and regional centres including the Central Coast, Illawarra, Lake Macquarie, Newcastle and the North Coast of NSW, and $600,000 in other parts of NSW.


1. How can I apply to the scheme?

Before the programme starts in January 2023, the steps for applying for a shared equity place will be explained on the website of an approved lending partner. When the scheme is ready to accept applications, you will be able to do so on the website of a lending partner that has been approved.

2. Can a first home buyer participate in the shared equity scheme and claim stamp duty exemptions?

Yes, the shared equity scheme doesn’t change any other tax plans for people buying their first home. A first-time home buyer who meets the requirements could get a cut on or exemption from stamp duty.

All other duty exemptions and concessions also apply, and if the buyer is not eligible for any exemptions or concessions, the full duty is charged.

3. Will I be able to decide what percentage of equity the NSW government will contribute to the scheme?

After a lending assessment, the government’s lending partner will let the government know what percentage of the equity contribution could be used.


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