The Easiest Way to Save Your Deposit as a Nurse

Registered nurses and midwives can purchase property with a deposit as low as 5 percent of the property value through the Australian Government 5% Deposit Scheme, and some lenders will waive Lenders Mortgage Insurance at a 10 percent deposit for nurses earning above $90,000.

Your deposit requirement depends on the lender policy you access, your income level, and whether you combine a government guarantee with a profession-specific waiver. Most home loans for nurses require a 20 percent deposit to avoid LMI, but the combination of AHPRA registration and targeted lending policies changes that.

Government Guarantee Reduces Deposit to 5 Percent

The Australian Government 5% Deposit Scheme allows eligible first home buyer loans for nurses and midwives to purchase with a 5 percent deposit without paying LMI. Housing Australia guarantees up to 15 percent of the property value to the participating lender, bringing the combined deposit and guarantee to 20 percent. No income caps apply, and no annual place limits restrict access.

Property price caps vary by location. In NSW, the cap is $1,500,000 in capital cities and regional centres including Newcastle, Central Coast, and Illawarra. In Victoria, the cap is $950,000 in Melbourne and Geelong. In Queensland, the cap is $1,000,000 in Brisbane, Gold Coast, and Sunshine Coast. Both the purchase price and the lender's valuation must sit at or below the cap. Applications are made through participating lenders, not directly to Housing Australia.

A midwife purchasing in Newcastle at the regional centre cap of $1,500,000 would need a deposit of $75,000 plus settlement costs. The same purchase without the scheme would require $300,000 to avoid LMI, or $120,000 with LMI added to the loan. The scheme works with variable rate, fixed rate, and split loan structures depending on the lender.

LMI Waivers for Nurses Earning Above $90,000

Westpac, St.George, and Bank of Melbourne offer LMI waivers to registered nurses and midwives at a maximum LVR of 90 percent, requiring a 10 percent deposit. A minimum annual income of $90,000 is required. The maximum loan amount is $5 million per borrower under this waiver.

People First Bank offers no LMI up to 90 percent LVR for registered nurses through its Essential Services Professionals Package, with loans up to $1,200,000. Current AHPRA registration is required across all lenders offering profession-specific waivers. Acceptable registration types include general, specialist, provisional, and limited registration where the limitation relates to postgraduate training or supervised practice. Student registration and non-practising registration are not accepted.

Consider a registered nurse with an annual income of $95,000 purchasing in regional Victoria at $650,000. With a 10 percent deposit of $65,000 and an LMI waiver, the loan amount is $585,000. Without the waiver, LMI on a 90 percent LVR loan at that purchase price would add approximately $15,000 to $20,000 to the loan amount, depending on the lender's LMI schedule. That premium accrues interest for the life of the loan.

NAB, Commonwealth Bank, and Bankwest do not offer LMI waivers to nurses or midwives. CBA and Bankwest explicitly exclude nurses from their medical professional offers. A mortgage broker for nurses can identify which lenders provide access to waivers and structure the application to meet the lender's income and registration requirements.

Help to Buy Combines Equity Support with Low Deposit

The Help to Buy scheme allows eligible nurses and midwives to purchase with a 2 percent deposit, with the Australian Government contributing up to 30 percent of the purchase price for an existing home or 40 percent for a new home in exchange for equivalent equity. From 1 July 2026, income limits are $103,000 for individual applicants and $165,000 for joint applicants.

Property price caps vary by postcode and are confirmed using the search tool at firsthomebuyers.gov.au. Up to 10,000 places are available nationally in the 2026-27 financial year. Applications are made through participating lenders. Help to Buy cannot be combined with the 5% Deposit Scheme, but it can be used alongside most state and territory stamp duty concessions and grants where eligibility criteria are met.

A nurse purchasing in Tasmania under Help to Buy with a property value of $550,000 would contribute a 2 percent deposit of $11,000. The government would contribute up to 30 percent for an existing home, which is $165,000, in exchange for a 30 percent equity stake. The nurse's loan amount would be $374,000. When the property is sold or the equity is bought out, the government receives 30 percent of the sale price or valuation at that time.

State Grants and Concessions Stack with Lender Policies

Stamp duty concessions and first home owner grants reduce the upfront cash required at settlement and can be used alongside lender LMI waivers and government guarantees in most cases. NSW offers a full stamp duty exemption on properties up to $800,000 for first home buyers, with a sliding concession up to $1,000,000. Victoria offers a full exemption up to $600,000 and a concession up to $750,000. Queensland offers a first home concession that reduces duty by up to $17,350 on established homes valued under $710,000, with a full concession on new homes and vacant land with no price cap.

The First Home Owner Grant applies to new homes only in most states. Queensland offers $15,000 for new homes under $750,000. South Australia offers $15,000 for new homes with no price cap. Western Australia offers $10,000 for new homes under $800,000 south of the 26th parallel. The Northern Territory offers $50,000 for new homes purchased or built under a contract signed between 1 October 2024 and 30 September 2027, with no price cap.

A midwife purchasing a new home in South Australia at $700,000 with a 10 percent deposit and an LMI waiver from Westpac would access the $15,000 FHOG and full stamp duty relief on the residential land component. The deposit required is $70,000, less the $15,000 grant, bringing the net deposit to $55,000 plus settlement costs. Without the LMI waiver, the same purchase would require $140,000 or LMI of approximately $18,000 to $23,000 added to the loan.

First Home Super Saver Scheme Builds Deposit Faster

The FHSS Scheme allows nurses and midwives to make voluntary contributions into superannuation and release up to $50,000 toward a home deposit. Concessional contributions are taxed at 15 percent rather than at marginal income tax rates. Up to $15,000 of personal contributions from any one financial year can be released.

A registered nurse on a marginal tax rate of 32.5 percent who salary sacrifices $15,000 into super pays $2,250 in tax on that contribution instead of $4,875. The saving is $2,625 per year. Over three years, contributing $15,000 annually and releasing the maximum $50,000 results in a net tax benefit of approximately $7,875 compared to saving the same amount in a standard bank account, depending on the individual's marginal rate and the timing of contributions.

You need to obtain a determination from the ATO before signing a purchase contract. The released amount is paid directly to you, not to the lender or seller. You can combine the FHSS Scheme with the 5% Deposit Scheme, Help to Buy, and lender LMI waivers, provided you meet the eligibility criteria for each.

Borrowing Capacity Matters More Than Deposit for Some Buyers

Serviceability limits may prevent a nurse or midwife from borrowing the required loan amount even when deposit requirements are met. APRA requires lenders to assess all new borrowers' capacity to service a home loan at an interest rate that is at least 3.0 percentage points above the loan product rate. From 1 February 2026, lenders can lend up to 20 percent of new owner-occupier loans to borrowers with a total debt-to-income ratio of six times or greater. Most borrowers need to stay below that threshold.

A registered nurse with an annual income of $85,000 and no other debts would be assessed on serviceability at a rate of approximately 6.0 percent to 7.0 percent, depending on the lender's product rate. At a 6.5 percent assessment rate, the maximum loan amount is approximately $480,000 to $510,000, depending on the lender's serviceability calculator and the loan structure. A 5 percent deposit on a $500,000 purchase requires a loan of $475,000, which sits within serviceability. A 5 percent deposit on a $650,000 purchase requires a loan of $617,500, which would exceed serviceability for that income level.

Existing debts reduce borrowing capacity. A car loan with monthly repayments of $600 reduces borrowing capacity by approximately $100,000 to $120,000, depending on the lender. Debt consolidation loans for nurses can be structured to clear high-interest debts before applying for a home loan, improving serviceability. Your broker can model your serviceability across multiple lenders before you commit to a property price range.

Call one of our team or book an appointment at a time that works for you to confirm your deposit options, access lender LMI waivers, and structure your application to match your income and registration status.

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