Spoke · Eligibility and Income
HomeStart Eligibility and Income Limits: Do You Qualify?
Centrelink income, household income limits, bad credit and self employed rules. A straight answer on whether you can actually qualify for a HomeStart loan.
This page is part of our Ultimate Guide to HomeStart Finance. Here we tackle the question that stops most people before they even start: will I actually qualify? HomeStart was built for borrowers who do not fit the narrow box the major banks use, so the answer is yes more often than people expect.
What are the HomeStart eligibility criteria?
To qualify for a HomeStart loan you generally must be an Australian citizen or permanent resident, aged 18 or over, and buying or building an owner occupied home in South Australia. HomeStart assesses your genuine capacity to repay rather than applying a single blanket income cap, and it can accept some Centrelink payments as income.
Does HomeStart accept Centrelink income?
This is one of the biggest differences between HomeStart and a typical major bank. Where many commercial lenders heavily discount or simply ignore government benefits, HomeStart can recognise stable, ongoing payments as legitimate income. That can include certain family payments, pensions and single parent support, where they are continuing and verifiable.
If a mainstream bank has knocked you back because too much of your income comes from Centrelink, that is exactly the gap HomeStart was created to fill. It does not mean approval is automatic, but it does mean your application gets assessed properly rather than dismissed.
Understanding HomeStart income limits
There is a common misconception that HomeStart has one income ceiling. It does not. The core home loan is assessed on your capacity to repay. It is the optional boost products, which let you borrow more or defer costs, that carry specific net income limits.
| Product | What it does | Net income limit (current) |
|---|---|---|
| Starter Loan | Interest free and repayment free help with upfront costs | Singles up to $75,000 · Households up to $100,000 |
| Advantage Loan | Boosts how much you can borrow without lifting monthly repayments | Households up to $110,000 after tax |
HomeStart has expanded these income limits more than once in recent years, and they change with policy. Treat the figures above as a guide current at the time of writing and confirm the exact thresholds with HomeStart or your broker before you rely on them.
Can you get a HomeStart loan with bad credit?
HomeStart looks closely at your conduct and the story behind any credit issues, rather than refusing outright on a single black mark. Older, paid defaults with a clear explanation are viewed very differently to recent unpaid defaults or an undischarged bankruptcy. The key is full disclosure. Hiding something that later surfaces is what kills an application.
If your credit file has scars, the smart move is to get them in front of an experienced broker first, so they can be addressed up front rather than discovered mid assessment.
Self employed and age limits
Self employed applicants
HomeStart is not a low doc lender in the way some non bank lenders are. If you are self employed, expect to provide full financial statements and tax returns so your true net income can be verified. That is a higher bar than a stated income product, but it is also why HomeStart can lend confidently to people the banks find awkward.
Age limits
There is no simple maximum age that rules you out. What matters is that the loan term lines up with a realistic plan to repay it. Older borrowers may need to show a clear, documented exit strategy so the lender is comfortable the debt does not outlive your income.
The fastest way to know if you qualify is to have someone check your real numbers against current HomeStart policy. We do this every week.
Speak With An Accredited HomeStart Broker
Once you know you qualify, the next question is usually which product gets you in with the smallest deposit. That is covered in our guide to the HomeStart Shared Equity Option, Graduate Loan and Starter Loan.
About the author
Ross McFarlane • Licensed Mortgage Broker
Ross is an Adelaide based mortgage broker who has helped South Australians into their first home for nearly 7 years, including through HomeStart Finance low deposit pathways. His focus is making low deposit lending clear and straightforward, so you understand exactly how these loans work before you commit to one.
Credit Representative Number 526725, authorised under Australian Associated Advisers Pty Ltd trading as Keylend, Australian Credit Licence 392169.
Frequently asked questions
Does HomeStart do low doc loans for self employed borrowers?
Not in the traditional sense. Self employed applicants are generally asked to provide full financial statements and tax returns, usually for the past two financial years, so HomeStart can verify genuine net income rather than rely on a stated figure.
Is there an age limit for a HomeStart loan application?
There is no simple maximum age that automatically rules you out. The loan term needs to align with a realistic plan to repay, so older borrowers may be asked to show a documented exit strategy such as downsizing or accessing superannuation.
Can I use Centrelink income to qualify for HomeStart?
Yes, in many cases. Unlike many major banks, HomeStart can recognise stable, ongoing Centrelink payments as income where they are continuing and verifiable. It is one of the main reasons borrowers turn to HomeStart after a mainstream knock back.
Free, no obligation
Find out if you qualify for HomeStart
Send us your situation and we will check it against current HomeStart policy, including how your income and any credit history are treated.
General information only. Not financial or credit advice. Eligibility criteria apply.