What are the new income limits for the HomeStart Advantage and Starter loans?

The Advantage and Starter loans are two of HomeStart most useful tools for buyers on a lower to moderate income, and both have a household income cap that has moved upward recently. Because using an old figure can wrongly rule you in or out, it is worth understanding what these loans are, what the current limits are, and why they keep changing.

What the Advantage and Starter loans are

Neither of these is a standalone loan. They are additional, or booster, loans that sit on top of a standard HomeStart home loan. Their job is to lift your budget or help with upfront costs, so that a buyer on a modest income can reach a workable purchase. The Advantage Loan in particular can boost your budget by up to around 25 per cent, and is structured so it does not add to your monthly repayments, because it is repaid only once your main home loan is paid off. To access one of these, you generally need to have borrowed your maximum standard home loan amount first.

The current income limits

As at 2026, HomeStart lifted the maximum net household income for both the Advantage and Starter loans to around 110,000 dollars per year. Net means after tax, not your gross salary. This was an increase on earlier, lower caps, and it widened access to South Australians on moderate incomes who previously sat just outside the rules. Because the figure was raised more than once across 2025 and into 2026, the safest approach is to confirm the current limit directly with HomeStart rather than rely on any single published number, including this one.

Why net household income matters

It is important that the cap is on net, after tax, household income, not gross. That distinction changes who qualifies, because your take home pay is lower than your salary before tax. It also means the whole household income is counted, so for a couple both incomes are added together. When you are checking eligibility, make sure you are comparing the right number, because mixing up gross and net is an easy way to wrongly assume you do not qualify.

How the two loans differ

Although they share the income cap, the Advantage and Starter loans are aimed at slightly different needs. The Advantage Loan is focused on boosting your buying budget without lifting your monthly repayment. The Starter Loan is geared toward helping with the upfront cost hurdle that stops many buyers, and can include an interest and repayment free period in its early years. Which one suits you depends on whether your gap is budget or upfront cash, and HomeStart or a broker can help you work that out.

Why the limits keep changing

HomeStart adjusts these caps over time, largely in response to rising house prices and affordability pressures in South Australia. As it becomes harder for moderate income buyers to enter the market, HomeStart has lifted the income thresholds and the loan caps to keep the products useful. That is good news for buyers, but it is also why any figure dates quickly, and why confirming the current rules matters before you rely on them.

Who these loans suit

The Advantage and Starter loans are aimed at buyers who are ready to buy but fall a little short on budget or upfront costs, particularly first home buyers on a lower to moderate income. If a standard loan alone does not quite get you there, one of these booster loans may bridge the gap without pushing your monthly repayments up in the early years when money is usually tightest.

How they affect what you can borrow

The appeal is that they can increase your buying budget without increasing what you pay each month, because of how the repayments are structured. The Advantage Loan sits behind your main loan and is repaid later, so your day to day repayments stay based on the main loan. That can make the difference between a budget that works and one that falls just short, while keeping your monthly outgoings manageable.

How to check your eligibility

Income is only one of the eligibility rules, and the figures move, so the reliable way to know where you stand is to check directly. HomeStart can confirm the current income limits and whether the Advantage or Starter loan fits your situation, and a broker can map it against your wider options including mainstream lenders and the federal schemes. Our HomeStart eligibility guide also walks through the broader criteria.