Jason Given
Director & Mortgage Broker at Lendology. MFPA designated, MFAA member. Specialises in separation finance across Australia.
By Jason Given · April 2026 · 5 min read
Single parents face unique challenges when applying for a home loan - a single income, child-related expenses, and often a recent separation that has changed their financial position. But there are specific programs designed to help, and the right lender selection makes an enormous difference.
The Single Parent Stream allows eligible single parents or legal guardians with at least one dependent child to purchase with just a 2% deposit. The government guarantees up to 18% of the property value to the lender, so there is no Lenders Mortgage Insurance. Since 1 October 2025 there are no income caps, unlimited places and higher property price caps, and the scheme is available to previous owners - meaning you can use it even if you owned property before your separation. Officially it is now called the Australian Government 5% Deposit Scheme for single parents (formerly the Family Home Guarantee).
One important catch: if you were married and are separated but not yet divorced, the scheme rules treat you as still having a spouse, so you are not eligible until your divorce is final. De facto partners are treated as single once you no longer live together as a couple. See our full guide to the scheme and current price caps.
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Book a confidential chatSome lenders count documented child support and Family Tax Benefit in full, some count only part of it, and some do not count it at all. Most only count it while your youngest child is below a set age (commonly somewhere between 10 and 16, depending on the lender), because the payments stop as children grow up. The difference between lenders can add $40,000-$80,000 to what you can borrow. This is where a broker who understands separation lending adds genuine value - we know exactly which lenders treat child support most favourably.
On a single income of $75,000 with the Single Parent Stream (2% deposit), a single parent could realistically purchase a property in the $400,000-$500,000 range - covering suburbs in outer metro areas across Australian cities. With child support counted as income, that range can extend to $550,000+.
Source: Housing Australia (firsthomebuyers.gov.au) - 5% Deposit Scheme for single parents, eligibility and conditions. Checked October 2026.
Yes - unlike the First Home Guarantee, the Single Parent Stream is available to previous property owners. You need to be a single parent or single legal guardian of at least one dependent child, and not hold any other property interest once your new home settles. If you were married, your divorce needs to be final first.
As little as 2% through the Single Parent Stream. On a $450,000 property, that is $9,000. Without the guarantee, most lenders require 5-20%. Lendology checks your eligibility and applies on your behalf.
As a single mum on one income, I thought buying was impossible. Steve got me approved with the Single Parent Stream with just 2% deposit.
As low as 2% of the purchase price under the Single Parent Stream.
Eligible single parents with at least one dependent child can purchase with a 2% deposit and no Lenders Mortgage Insurance. Outside the guarantee, most lenders require 5% to 10% deposit, with LMI payable on deposits below 20%.
No. From October 2025, there are no income caps on the Single Parent Stream.
Previously, income limits applied. The removal of caps means single parents on higher incomes can now access the scheme alongside those on lower incomes.
We are not just explaining the process. We arrange the actual finance: refinancing into your sole name, funding a partner buyout, or setting up a new loan independently after settlement. We work with a panel of over 60 lenders to find the one that fits your situation.
Once the legal side of your property settlement is resolved, the next step is usually a financial one. That is where we come in.
Jason and Steve also help clients with first home loans, refinancing, and investment lending at lendology.com.au.
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Book a time with Jason or Steve. Confidential. No cost. No obligation.