Note 2: This Schedule does not impose legal obligations on participants directly. Rather, Housing Australia, in accordance with section 28, must ensure that arrangements require participants to meet these requirements.
1.1 Sale of existing property
Subject to section 29, a participant in an arrangement who is a single parent must not continue to hold a disqualifying property interest more than 4 weeks after becoming the registered owner of the relevant property.
1.2 Participant must remain only registered owner of property
Subject to section 45 (about deceased estates), a participant must remain the only registered owner of the property.
1.3 Property must remain principal place of residence
Subject to section 30, each participant must treat the relevant property as their principal place of residence.
1.4 Participant must not take out further mortgages over property
(1) A participant must not take out any mortgages over the relevant property other than:
(a) the mortgage with their participating lender; and
(b) the mortgage securing the Commonwealth share.
(2) To avoid doubt, a participant:
(a) may only hold one mortgage with one participating lender at a time; but
(b) may take out a new mortgage with a participating lender in order to discharge their mortgage with their current participating lender.
(3) This clause does not apply if, at the time when the participant takes out a mortgage, the Commonwealth share in respect of the relevant property will be repaid in full.
1.5 Participant must notify Housing Australia when borrowing additional funds from a participating lender
(1) A participant must not:
(a) borrow additional funds under their mortgage with their participating lender; or
(b) take out a new and larger mortgage with a participating lender to discharge their mortgage with their current participating lender;
without first notifying Housing Australia of their intent to do so.
Note: Housing Australia must ensure that an arrangement enables a participant to increase the size of their mortgage only where the proposed increase is for a specified purpose as set out in section 32.
(2) To avoid doubt, this clause does not require notification by a participant of any borrowing, nor limit the capacity of a participant to borrow, other than by way of a mortgage.
1.6 Participant must not receive assistance from other relevant schemes
A participant must not receive assistance by way of one or more of the following:
Schedule Sch 1 - Help to Buy Program Directions 2025 - Participation requirements | Zoe
(a) a home‑buyer guarantee provided by a Commonwealth entity or Commonwealth company;
(b) a shared equity scheme;
(c) a loan or guarantee provided by or on behalf of a State or Territory to support home ownership.
1.7 Participant must not acquire disqualifying property interest
(1) A participant must not hold a disqualifying property interest.
(2) Where the participant acquires the disqualifying property interest as a beneficiary in a deceased estate, subsection (1) does not apply for the first 2 years after the deceased’s death.
1.8 Participant must maintain the property
A participant must maintain the relevant property to a standard that is adequate to preserve its value.
1.9 Participant must not lease the property
A participant must not enter into a lease arrangement in respect of the relevant property unless:
(a) the participant is allowed, as set out under section 30, to not comply with the principal place of residence requirement at all times during the currency of the lease arrangement; and
(b) the participant notifies Housing Australia before entering into the lease arrangement.
1.10 Participant must not use the property for business purposes
A participant must not use the relevant property for a business or commercial purpose.
1.11 Participant must maintain adequate insurance
A participant must:
(a) keep the relevant property adequately insured; and
(b) provide evidence of their insurance arrangements to Housing Australia each year; and
(c) notify Housing Australia of any changes to their insurance policy within 60 days of the change taking effect.
1.12 Participant must pay ongoing costs
A participant must ensure that all ongoing costs associated with the relevant property (such as rates and strata fees) are paid.
1.13 Participant must notify Housing Australia of relevant changes of circumstances
(1) A participant must notify Housing Australia if any of the following events occur:
(a) the participant breaches a participation requirement (including the participation requirement outlined in this clause);
(b) the participant ceases to be an Australian citizen;
(c) the participant refinances or discharges their mortgage with their participating lender;
(d) a progress payment has become due and payable under a contract for the construction of a new home;
(e) the relevant property sustains damage that would cost in excess of $20,000 to repair (indexed in accordance with section 55).
(2) The participant must give notice in the form approved by Housing Australia, within 90 days of the day on which the participant became aware, or should have become aware, of the relevant event.
1.14 Participant may only vary or enter new construction contract in certain cases
(1) Where an arrangement relates to the construction of a new home, a participant must not agree to vary the construction contract (the original contract) for that arrangement unless:
(a) the varied contract would require the construction of substantially the same dwelling as the original contract; and
(b) the varied contract would require the builder to construct a fully completed dwelling on the land, up to and including the point at which the home is certified as fit for occupation; and
(c) the varied purchase price would be a fixed price that does not exceed the price cap that applied at the time the arrangement was entered into for the area in which the property is located; and
(d) the participant gives 21 days’ notice to Housing Australia before the variation is executed; and
(e) the construction timeframes set out in the original contract would continue to apply, subject to any reasonable variations approved by Housing Australia.
(2) Where the arrangement relates to the construction of a new home, a participant must not enter into a new contract (the replacement contract) for the construction of that home unless:
(a) Housing Australia is satisfied that the original contract was terminated due to circumstances beyond the participant’s control or that it is otherwise appropriate for the participant to do so in the circumstances; and
(b) the replacement contract would provide for the construction of substantially the same dwelling as the original contract; and
(c) the replacement contract would meet the requirements of paragraphs 23(b), (c) and (d); and
(d) the fixed price for the construction of the dwelling under the replacement contract, together with the costs incurred under the original contract, would not exceed the price cap that applied at the time the arrangement was entered into for the area in which the property is located; and
(e) where the participant terminated the original contract—the participant gave Housing Australia 21 days’ notice before doing so; and
(f) where the builder terminated the original contract:
(i) the participant gave 21 days’ notice to Housing Australia before the contract was terminated; or
(ii) where it was not possible to give 21 days’ notice—the participant gave notice as early as possible in the circumstances; and
(g) the construction timeframes in the original contract would continue to apply under the replacement contract, subject to any reasonable variations approved by Housing Australia.