5% Deposits: A Boost for First Home Buyers on the Upper North Shore

Turramurra North Real Estate is proud to announce we have been named the NSW State Winner in the 2025 Australian Achiever Awards for Real Estate Services.

The Federal Government’s early rollout of the 5% deposit scheme is set to reshape the property landscape — and it’s particularly good news for first home buyers across the Upper North Shore.

From reducing the time it takes to save for a deposit to increasing competition at open homes, the policy is expected to create a wave of renewed confidence in the local market.

Here’s what the team at Turramurra North Real Estate (TNRE) had to say about what this means for buyers and sellers in our area.

More First Home Buyers Ready to Act

With lower upfront costs and no income caps, the early launch is opening doors for more Australians to take their first step into the property market.

“We anticipate increased attendance at opens and auctions, particularly among younger buyers who have been sitting on the sidelines,” says the TNRE team. “Even if they’re still comparing options, this scheme will likely motivate more people to start engaging actively with the market.”

For many first home buyers, the change removes a significant psychological barrier — replacing the sense of “we’re years away” with a tangible opportunity to buy sooner.

While the Upper North Shore remains one of Sydney’s most desirable regions, the surge in first home buyer activity is expected to concentrate in entry-level homes, townhouses, and apartments.

“These types of properties are already highly sought-after, and this scheme will add to that demand,” TNRE explains. “Suburbs in the Upper North Shore are well-positioned to attract first home buyers who want community, transport, and lifestyle while staying within reach of Sydney.”

For buyers, this means acting fast and being well-prepared. For sellers, it’s a sign that the coming months may offer an ideal window to list.

As buyer activity increases, seller confidence is expected to follow.

“Owners of smaller homes or apartments may see this as an opportune time to sell, knowing that demand from first home buyers could be stronger than usual,” TNRE notes.

Homes that are move-in ready, well-presented, and clearly priced are likely to stand out. Highlighting lifestyle features — such as proximity to schools, shops, transport, and green spaces — can make all the difference when appealing to this growing segment of motivated buyers.

reparation remains key. TNRE recommends first home buyers:

• Speak with a broker or bank early to understand their borrowing capacity
• Define their “must-haves” versus “nice-to-haves”
• Stay ready to act quickly when the right property appears

“Competition may increase, so being organised from the outset will give you an advantage,” says the team.

While the most immediate effect of the 5% deposit scheme will likely be a short-term spike in buyer activity, the broader impact could extend well beyond this year.

“Longer-term effects will depend on factors like interest rates and supply levels,” the team explains, “but overall, this policy sets the stage for more first home buyers to enter the market earlier in their lives.”

At Turramurra North Real Estate, decades of local experience mean the team understands how national policy shifts translate to real opportunities for buyers and sellers.

“We combine deep knowledge of the Upper North Shore with a clear understanding of where qualifying properties may be located,” TNRE says. “That allows us to guide both buyers and sellers with practical advice — helping first home buyers take confident steps into the market, and supporting sellers to position their homes effectively in changing conditions.”

If you’re considering buying your first home or selling a property that might appeal to this new wave of buyers, contact our friendly team today or explore our latest listings.

We’re here to help you navigate every step with confidence.