It just got easier to buy your first home after Australia’s first home guarantee expanded

Once buyers are approved for the first home guarantee, they have 90 days to find a home and sign a contract of sale. They must then live in the property as an owner-occupier to remain covered by the guarantee. Photograph: Mick Tsikas/AAP

The first home guarantee is expanding from Wednesday, making it easier for prospective homebuyers to take out loans.

All first-time buyers will be eligible for the federal government’s scheme, which waives the lender’s mortgage insurance charged to borrowers with small deposits (though there are caps on loan values).