Shared Equity Home Buyer Helper – key definitions and eligibility criteria
Key definitions and eligibility criteria relating to Shared Equity Home Buyer Helper are listed in alphabetical order below, following a helpful video explaining the financial terms you'll encounter when you apply.
Financial terms made simple – video
Watch the short video below to find out the meaning of the financial terms that will be used when you apply for Shared Equity Home Buyer Helper.
Shared Equity Home Buyer Helper - Financial terms made simple
Administration
The Chief Commissioner of State Revenue (Chief Commissioner) administers the Shared Equity Home Buyer Helper and is responsible for confirming participation in the program. Revenue NSW manages the ongoing relationship with participants.
Age
To access Shared Equity you must be aged 18 years or over. If you are aged 50 years or over you could be eligible for Shared Equity if you are single.
Note: Retirement does not make you ineligible for Shared Equity. You can remain in the program, and your home, when you retire.
Application arrangements
Your circumstances determine how you can apply for Shared Equity Home Buyer Helper as single applicant or in a joint application.
This is separate to how you apply for your home loan with the bank – a couple can still access the Shared Equity Home Buyer Helper even if only one person applies for the home loan.
- Single applications
- You must be single – no spouse – to make a single application for the Shared Equity Home Buyer Helper.
- Joint applications
- Couples – married or de facto – must make a joint application for the Shared Equity Home Buyer Helper.
- Only couples can make a joint application to the initiative – no other relationship type is eligible.
Asset limits
The asset limits are based on the property purchase price and vary depending on your age, gross income and if you’ll be making a single or joint application. To be eligible, your financial assets must not exceed the asset limits that apply to you.
- 30% of the property purchase price applies to:
- joint applicants with a combined gross annual income more than $93,200.
- 45% of the property purchase price applies to:
- single applicants aged 18 to 49
- joint applicants with a combined gross annual income up to $93,200.
- 65% of the property purchase price applies to:
- single applicants aged over 50
- victim-survivors of domestic and family violence.
The lender will confirm your assets as part of the application process. They may also determine you are eligible for a standard home loan which means the Shared Equity Home Buyer Helper is no longer required.
Financial assets include:
- currency and deposits (cash, savings, gold etc)
- securities and related assets (shares, bonds, investments etc)
- loans and placements
- superannuation amounts that may be withdrawn from a superannuation fund at the discretion of the member without satisfying early access provisions
- net fixed assets of a business (which excludes trading stock and intangibles)
- luxury items
- any other financial assets that the Chief Commissioner considers to be relevant for determining eligibility.
Normal household assets are excluded unless they are luxury items.
If you have savings over $100,000 they may be directed towards reducing the Government's contribution amount.
Dependent children
A child is considered a dependent person if they are:
- aged under 16, or
- aged 16 to 18 (under 19) and in full-time secondary study, or
- aged 18 to 21 (under 22) and in receipt of a disability support pension under the Social Security Act 1991.
The Chief Commissioner may waive the requirement for a child aged 16 to 18 to be in full-time secondary study.
Deposit
You must contribute 2% of the purchase price of the property (or purchase price of the land and home construction costs combined).
- $300,000/$6000
- $400,000/$8000
- $500,000/$10,000
- $600,000/$12,000
- $700,000/$14,000
- $800,000/$16,000
- $900,000/$18,000
- $950,000/$19,000
Domestic and family violence
Domestic and family violence is defined as any behaviour in a domestic relationship that is violent, threatening, coercive or controlling, or that makes a person fear for their own safety or wellbeing or the safety or wellbeing of others.
If you are eligible for Shared Equity because you are a victim-survivor of domestic and family violence, you will be asked to supply evidence that you have experienced a domestic and family violence incident within the last 5 years* to the lender.
For help and support, call the NSW Domestic Violence Line anytime on 1800 656 463.
*Revenue NSW has the discretion to approve your application if your legal evidence relates to an incident/s which occurred more than 5 years ago. Legal evidence from up to 10 years ago will be accepted.
If you have accessed the legal system, you will be required to provide a copy of:
A current Final Apprehended Domestic Violence Order (ADVO) or one that has expired in the last five years.
a court injunction granted within the last five years because of evidence of domestic and family violence, or
a domestic violence conviction or finding of guilt against a person with whom you previously had a domestic relationship, imposed within the last five years.
Applicants can ask for the 5-year limit to be extended to 10 years if they have documentation dated beyond the timeframe. You do not need to discuss your circumstances, simply submit the required documentation.
Domestic and family violence declaration form
As an alternative to legal documentation, you can ask two authorised (competent) persons (see below) to complete a domestic and family violence declaration form on your behalf. You will need to download a domestic and family violence declaration form and complete the applicant section first.
The following professionals (competent persons) are authorised to complete the remainder of the form:
registered health practitioners or social workers
an employee of a NSW government agency that provides services relating to child welfare, or
specific non-government agencies which receive government funding to provide domestic violence, sexual assault, or refuge or emergency accommodation services.
counsellors approved by the Commissioner of Victims’ Rights.
How to obtain court documents
If you do not already have a copy of the ADVO, court injunction or court record that shows the perpetrator was found guilty or convicted of a domestic violence offence against you, please read the following for guidance on how to get this documentation.
- Getting a copy of an ADVO – You will need to go to a NSW Local Court registry. Show the court registry your photo identification and advise the registry you were/are named as a ‘person in need of protection’ (PINOP) on an ADVO. You will need to know the perpetrator’s full name and date of birth as they will be named as the ‘defendant’ on the ADVO. The registry can provide you with a copy of the ADVO free of charge.
If you have any trouble getting a copy of your ADVO, you can contact your nearest Women’s Domestic Violence Court Advocacy Service on 1800 WDVCAS (1800 938 227). - Getting a copy of the conviction – If the person who perpetrated violence against you was found guilty of a domestic violence offence, then by law there should also be an ADVO to protect you. It is easier to get a copy of the ADVO following the steps above rather than getting a copy of the perpetrator’s guilty finding. If you want to get a copy of the guilty finding, please contact your local Police station as they may be able to assist you with getting a copy.
- Getting a copy of a family law injunction – All Federal Circuit and Family Court orders are signed and sealed electronically and available to download from the Commonwealth Courts Portal (the Portal). To get access to the Portal, fill out and submit the form following this link https://www.comcourts.gov.au/pip/individual/new. The Portal will provide you with secure web-based access to your court file and documents including court orders. You can also contact the National Enquiry Centre for further assistance with the Portal on 1300 352 000 Monday to Friday 8:30am to 5:00pm.
Eligible key workers
If you are applying because your occupation makes you eligible as a ‘key worker’, the lender will confirm your qualifications and the relevant award or enterprise agreement you work under to determine if you qualify as a key worker for the purposes of the scheme. You can be employed on a temporary, permanent, full-time or part-time basis.
Relevant qualifications and awards or enterprise agreements
You must hold or be studying towards a Certificate III or Diploma in Children’s Services or Early Childhood Education and Care and be employed under the Children’s Services Award 2010 or any other award or enterprise agreement approved by the Chief Commissioner.
You must be a registered or provisionally registered nurse and/or midwife, an assistant in nursing, or an enrolled nurse employed under any of the following:
- Public Health System Nurses and Midwives (State) Award 2021
- Nurses Award 2020
- Private Hospital Industry Nurses (multiple agreements)
- aged care (multiple agreements)
- miscellaneous industrial agreements (multiple) including affiliated health organisations medical centres and GP services, private sector day procedure services and private sector specialist services
- any other award or enterprise agreement approved by the Chief Commissioner.
You must be registered with the Australian Health Practitioner Regulation Agency and be employed under any of the following:
- Paramedics and Control Centre Officers (State) Award 2021
- Ambulance and Patient Transport Industry Award 2020, or
- any other award or enterprise agreement approved by the Chief Commissioner.
You must be employed under the Crown Employees (Police Officers - Award) 2017 or any other award or enterprise agreement approved by the Chief Commissioner.
Teachers (up to Year 12) must hold conditional to proficient accreditation with the NSW Education Standards Authority (including early education teachers) and be employed under any of the following:
- Crown Employees (Teachers in Schools and Related Employees) Salaries and Conditions Award 2020
- Independent Schools (Teachers) Agreement 2017
- Independent Christian Schools Agreement 2021
- NSW and ACT Catholic Systemic Schools Enterprise Agreement 2020
- Educational Services (Teachers) Award 2020
- various Early Childhood Teacher private enterprise agreements, or
- any other award or enterprise agreement approved by the Chief Commissioner.
Equity funding versus debt funding
Shared Equity and similar government programs are known as equity funding, which is different to debt funding, the term used to define mortgages and loans. Debt funding requires you to pay interest. There is no interest on equity funding.
Those who take part in Shared Equity will be accessing both equity funding and debt funding. You won’t pay rent or interest on the Government’s equity share in your home. The Government’s equity share will increase or decrease in value over time, based on the market value of the property, and when you sell or buy out that equity, this increase or decrease will be shared between you and the Government, in proportion to the share you each own.
Meanwhile, you will also have a mortgage with a scheme lending partner to help fund your share in the property, and you will pay interest (and principle repayments) on that mortgage as you would any other debt funding agreement you entered into.
Under Shared Equity, the government’s interest in the property will be represented as a second mortgage on the title, alongside the primary mortgage held by the lender.
Government contribution amount
The NSW Government's equity contribution is the share of the purchase price we will contribute towards purchasing your home. This amount depends on whether you are a buying a new or existing home.
Understand how the Government's equity contribution is calculated by watching the short video below.
A new home – up to 40% of property value
A new home is a home that has not been previously occupied or sold as a place of residence. This includes a substantially renovated home or a home built to replace demolished premises.
Property price/maximum contribution
- $300,000/$120,000
- $400,000/$160,000
- $500,000/$200,000
- $600,000/$240,000
- $700,000/$280,000
- $800,000/$320,000
- $900,000/$360,000
- $950,000/$380,000
An existing home – up to 30% of property value
An existing home is residential property that has previously been occupied, that has not undergone extensive renovation.
Property price/maximum contribution
- $300,000/$90,000
- $400,000/$120,000
- $500,000/$150,000
- $600,000/$180,000
- $700,000/$210,000
- $800,000/$240,000
- $900,000/$270,000
- $950,000/$285,000
Shared Equity Home Buyer Helper - The Government's equity contribution
Gross income limits
The Shared Equity Home Buyer Helper has the following gross income limits:
- A single person – no more than $93,200
- A couple – no more than $124,200
What is gross income?
You can find your gross income figure on your latest income tax assessment.
Gross income includes:
- assessable income
- exempt income.
Salary sacrificed amounts are included in your gross annual income.
Gross income does not include:
- child support
- lump sum workers compensation payments.
Home occupancy
The home you purchase must be your principal place of residence and you must move in at settlement unless the property is subject to a lease entered into by the previous owner or you are building a new home.
Land or property ownership
Current ownership
If you currently own land or property you can’t access the Shared Equity Home Buyer Helper.
If you jointly own land or property with an ex-partner – and you are currently single earning $93,200 or less – you may be able to use the Shared Equity Home Buyer Helper to purchase their share.
Contact our lending partners to discuss your individual circumstances and see if the initiative will be available to you.
Previous ownership
If you are accessing the initiative solely based on your occupation (a ‘key worker’) you must never have owned land or property in Australia – but if you previously owned real estate overseas, you are still eligible to access the initiative.
If you are a single parent or a single person over 50 who previously owned land or property you can access the initiative if you don’t own any real estate now.
Land or property includes land owned:
- in Australia or overseas
- via strata or company title arrangements
- as a shareholder of a corporation
- through a trust
- primary production land.
There are some exclusions:
- shareholdings in organisations listed on a stock exchange that own land
- any land owned indirectly through a widely held managed fund or superannuation scheme
- if you hold land solely as the trustee of a trust or the executor of a will.
Maximum purchase prices and locations
The maximum amount you can pay for a home when accessing the Shared Equity Home Buyer Helper depends on where the property is located.
- $950,000 in Sydney and major regional centres (Newcastle & Lake Macquarie, Central Coast, Illawarra and North Coast of NSW), or
- $600,000 in other regional areas of NSW.
To determine the maximum amount you can pay for your home the Australian Bureau of Statistics’ Greater Capital City Statistical Area is used to define Sydney (which includes the Central Coast).
Major regional centres of Newcastle & Lake Macquarie and Illawarra align with the ABS’ statistical area level 4 (SA4) definitions. The North Coast of NSW is defined to align with the following ABS SA4 definitions:
- Mid-North coast
- Coffs Harbour-Grafton
- Richmond-Tweed
Off the plan
An off the plan property purchase must be made within 90 days of settlement or the completion of construction. The time limit is necessary because the property must be ready for inspection by an independent valuer and ready to be occupied at the final stage of approval into the program.
Be extremely cautious about signing a contract and paying a deposit for an off the plan property during your pre-approval period. Make sure the property is very close to completion and has achieved certain construction milestones, including registration of the strata plan and receipt of an Occupation Certificate before you consider a purchase.
Exceeding the 90-day pre-approval time limit will make your purchase ineligible for Shared Equity, so if you are buying off the plan and start to have concerns about meeting the deadline, ask your lender for a pre-approval extension. The extension will allow you to join Shared Equity when you are certain settlement or construction will be completed within 90 days of the contract date.
Ongoing obligations and eligibility
The ongoing eligibility criteria for Shared Equity Home Buyer Helper participants are that they continue to:
- occupy the property as a principal place of residence
- be an Australian citizen or permanent resident
- not own additional property
- not exceed the relevant income threshold in two consecutive financial years.
If you no longer occupy the home as your principal place of residence, cease to be an Australian citizen or permanent resident, or acquire additional property you must notify the Chief Commissioner within 3 months.
Periodic reviews
Every 2 to 5 years the Chief Commissioner will conduct a periodic review to confirm you are still eligible to access the initiative. A review may also be conducted if we are notified that your circumstances have changed. This could include that the property is no longer your principal place of residence.
If a periodic review finds that you are no longer eligible for the initiative, you may be required to re-finance or make a payment to acquire part or all of the state’s interest in your property, depending on your circumstances.
Understand the review process used to check your continued eligibility for Shared Equity Home Buyer Helper by watching the short video below.
Shared Equity Home Buyer Helper - The review process
Price
While the maximum purchase prices are $950,000 for homes in major centres and $600,000 for those in regional areas, participants are not automatically approved to borrow the maximum available amount.
Your income and assets are used to determine your borrowing capacity – our lending partners will approve an amount appropriate to your circumstances.
Purchasing costs
To access the Shared Equity Home Buyer Helper you need to cover the home purchasing costs. This includes:
- conveyancing
- building and pest inspections
- conveyancing and legal fees
- settlement fees and registration fees.
You must also pay transfer duty. Visit First Home Buyers Assistance Scheme to see if you're eligible for a transfer duty exemption or concession.
Learn more about upfront costs at Buying a house on the Moneysmart website.
Where to find out more
The Shared Equity Home Buyer Helper customer guide has more details.
If you have already purchased a home with Shared Equity, see information for participants.