First Home Buyers

Use the web to look at long term price trends, population growth forecasts, government infrastructure investment, and vacancy rates. You can also search individual property reports with Police Bank’s free property search tool.

• Asking price: what the seller hopes to get for the property
• Market value: what the property is likely worth based on comparable sales

During the loan approval process, we assess market value.

It’s a Federal Government initiative that helps eligible first home buyers purchase a home sooner with a lower home deposit. Currently, first home buyers can buy a home with as little as a 5% deposit and single parents or single legal guardians can buy with as little as a 2% deposit under the Family Home Guarantee.

Under the Scheme, the Government provides a guarantee on part of your home loan. This means you can buy a home with a smaller deposit without paying Lenders Mortgage Insurance (LMI), which is normally required when your deposit is less than  20%.

The Scheme is administered by Housing Australia and you can find out more here.

If you’re eligible, you may be able to buy a home with as little as a 5% deposit (or minimum 2% deposit for single parents or legal guardians), instead of the usual 20%. Under the Scheme, Housing Australia guarantees part of your home loan with your lender, which means you don’t need to pay Lenders Mortgage Insurance (LMI). This can significantly reduce your upfront costs and help you buy sooner.

You can find the most uptodate and detailed information on the Housing Australia website.

It’s important to note that there may also be separate state or territory government initiatives available which operate independently of the Scheme. Understanding how both federal and statebased schemes apply where you plan to buy can help you make the most of the support available.

You will need to meet a range of requirements to apply. You can check your eligibility through Housing Australia’s eligibility tool.

No. The Scheme is only available through participating lenders that have been approved by Housing Australia. Police Bank is proud to be one of 32 authorised lenders for the Scheme.

Home loan pre-approval (or conditional approval) means that a lender has agreed to lend you money towards the purchase of your home in principle. The lender hasn’t completed a full and final approval. A pre-approval can help you get an idea of how much you can borrow. However, a pre-approval doesn’t guarantee a finance approval.

Yes. While you’re still saving, a Police Bank Home Lending Specialist can discuss costs involved in buying a property. This can help you know where you stand and set a realistic timeline.

Most pre-approvals are typically valid for around 90 days, provided your financial and personal circumstances remain unchanged and the lending environment stays stable.

A pre-approval (also known as a conditional approval) is not a guarantee of finance. 

It is subject to a number of conditions being met, which can include:

• No changes to your income, employment, expenses, or personal circumstances
• Your savings continuing to be held and available
• The property you choose meeting Police Bank’s lending and security requirements (including title availability and valuation)
• Final credit approval and verification checks

If your financial or personal situation changes at any point, your pre-approval may no longer be valid. If your pre-approval expires before you find a property, you’ll generally need to refresh or reapply, which may involve updating documents and reconfirming your details.

Full terms and conditions will be outlined in your pre-approval letter.

While recent sales, property reports, agent feedback and days on market can help guide your thinking, many first home buyers choose to work closely with their lender throughout the process.

A Police Bank Home Lending Specialist can help to support you along the way – from understanding how much to save and budgeting for upfront costs, to reviewing affordability, running property reports and helping you assess options as you search for the right home. They provide general information and guidance to help you make informed decisions based on your circumstances.

• Holding deposit: small initial amount when offer is accepted
• Full deposit: the balance payable at contract exchange

Once your offer is accepted and your formal loan application is submitted, approval is typically completed within around 5 business days, assuming all required information is provided promptly.

This timeframe is dependent on:

• an independent property valuation being completed
• final credit assessment and approval
• you supplying all required documents to complete the assessment

Because valuations are arranged through independent valuers, timeframes can vary. This is another reason why having a pre-approval in place is so important — many key checks have already been completed, helping the formal approval process move more smoothly.

A Police Bank Home Lending Specialist will guide you through each step and keep you informed throughout the process.

We confirm the property’s value is worth the contract price and is suitable security for the loan.

Formal approval is usually straightforward if all required information is provided early and property checks are satisfactorily completed.

At Police Bank, we encourage members to talk to us about their circumstances, regardless of how their income is structured. We understand police and emergency services pay arrangements and will work with you to review your situation and assess affordability. Starting with a Police Bank Home Lending Specialist early can help keep things moving smoothly.

Rarely, but it’s best practice not to:

• Change jobs with a lower income
• Take on new debt
• Reduce your savings

Changes to your financial situation can interfere with final checks.

We’ll let you know your loan is approved and prepare your home loan contract.

Settlement is the legal transfer of ownership from the seller to the buyer of a property.

Yes. Most lenders require building insurance to be in place before settlement, even though the seller still owns the property at that time. This is standard industry practice and is a condition of a home loan to help protect the property.

Police Bank offers home and contents insurance through Allianz for members who wish to consider it. However, you are not required to take out insurance through Allianz – you are free to choose any insurer that meets the lender’s insurance requirements.

Your solicitor can usually negotiate repairs or compensation before settlement.

Before settlement, your solicitor or conveyancer will provide a settlement statement outlining the total funds required, which typically include:

• the remaining purchase balance
• stamp duty
• adjustments such as council rates, water and strata fees
• legal and conveyancing fees

Police Bank will arrange the loan funds, and you’ll need to have and hold the remaining balance of funds in your account and available at settlement. It’s important not to spend or move these savings beforehand, as they are required to complete the purchase.

If you’re unsure what amount to set aside, your Police Bank Home Lending Specialist can also help explain what amount you may require ahead of settlement.

It’s a legal process where your solicitor/conveyancer and financial representatives of both the buyer and the seller of a property is completed. This is the process where ownership of the property passes from the seller to you and you pay the balance of the purchase price.

On settlement day, your solicitor or conveyancer works with your lender and the seller’s representatives to exchange legal documents and finalise payment of the purchase price.

Your lender provides the funds and registers the mortgage on the property title, while your solicitor or conveyancer checks that the title is clear, all contract conditions are met, and ownership is transferred into your name.

Any property related costs, such as council rates or body corporate fees, are also adjusted so each party only pays for the period they own the property.

Penalties may apply depending on the contract. Your solicitor will negotiate with the seller to resolve the delay.

Yes – once settlement is complete and keys are handed over by your solicitor or the real estate agent, the home is legally yours.

Congratulations!

• Change locks 
• Transfer utilities such as electricity, gas, internet
• Update your address with the bank
• Store your contract and loan documents safely