Buying your first home is a big milestone - and doing it in the sought-after suburbs of North Shore Sydney makes it even more challenging for many. With competitive prices and high demand across areas like Chatswood, Lane Cove, and Dee Why, knowing where to start with home loans for first home buyers in North Shore Sydney can save you a lot of stress, and money.

In this guide, we’ll break down everything you need to know. You’ll learn what lenders want, how much you’ll need to save, and what government help is available for first home buyers in this area. Plus, we’ll share tips on how working with a local mortgage broker like Sabea Financial can make the process far smoother.

Let’s get started.

1. What’s the Average Cost of a First Home on Sydney's North Shore?

It’s no secret—the North Shore isn’t the cheapest place to buy your first home, but it’s a solid long-term investment. As of 2025, the median house price in North Sydney is over $2.2 million, while units hover around $1 million, according to CoreLogic.

In suburbs like Chatswood, Pymble and Epping, unit prices can start from around $850,000, giving first home buyers a few more affordable entry points. Understanding these local price points helps you set realistic goals for your deposit and loan pre-approval.

2. How Much Deposit Do You Need as a First Home Buyer?

Most lenders will require at least a 5% to 20% deposit of the purchase price. On a $900,000 apartment, that’s anywhere from $45,000 to $180,000. But here’s the good news—if you don’t have the full 20%, you may qualify for lenders mortgage insurance (LMI) or government schemes that let you buy with as little as 5%.

Tip: Having genuine savings and showing you can service a loan, not just a gift from your parents, makes your application more attractive to lenders who see you can service your loan.

3. What Government Support Can You Access?

If you're buying your first property in North Shore Sydney, you could be eligible for several government initiatives. These grants and schemes are designed to help you get into the market sooner, especially in higher-value areas like the Northern Beaches and North Sydney.

Heres what's available for firtst home buyers:

• First Home Owner Grant (FHOG): $10,000 for new homes valued under $750,000.
• First Home Buyer Assistance Scheme (NSW): Stamp duty exemptions or discounts for properties under $800,000 (with partial discounts up to $1 million).
• First Home Guarantee Scheme: Buy with just a 5% deposit without paying LMI, for eligible buyers.

Remember: Always check the NSW Revenue website for the most up-to-date eligibility criteria and application process. Or just get in touch with us here as we do all of this for you!

4. Why Work with a Local North Shore Mortgage Broker?

One of the main reason is - lenders have hundreds of loan options, and comparing them all can be overwhelming. That’s where we help. A North Shore-based mortgage broker like Sabea Financial knows the ins and outs of the local property market and lender criteria. We can guide you through every stage, making the process much less stressful.

Here’s how our brokers can help:

• Compare over 60 lenders and thousands of loan products.
• Navigate complex terms and hidden fees.
• Structure your loan so it grows with you.
• Maximise your chances of pre-approval, especially if you're self-employed or on a single income.

Working with a broker also means you’re not alone in this process, we’re with you from your first call to settlement day and beyond.

5. Should You Get Pre-Approval First?

Yes, getting pre-approval is a smart first move. It shows sellers you're serious and gives you a clear borrowing limit. It also usually takes 2–5 business days to get pre-approved, depending on the lender and your financial profile. A local broker can often speed things up by submitting a complete, polished application on your behalf.

To fast-track your application, have the following ready:

• Proof of income (payslips, tax returns).
• Bank statements (usually 3-6 months).
• Details of your savings and assets.
• A snapshot of your expenses and debts.
  
  

6. What’s the Process of Buying a Home in North Shore?

Buying your first property can feel overwhelming, but once you break it down, the process is straightforward. The North Shore market moves fast, so being prepared puts you in a strong position.

Here’s how the process usually goes:

1. Speak to a broker like Sabea to check your borrowing capacity.
2. Get pre-approval so you can house hunt confidently.
3. Search for properties within your price range.
4. Make an offer or bid at auction.
5. Exchange contracts (we can recommend some great solicitors).
6. Go unconditional and settle (usually 4–6 weeks later).
7. Move in!

7. What Are Lenders and Banks Looking For?

Lenders want to see that you’re financially stable and responsible. If you’re borrowing for your first home, especially in a competitive market like the North Shore, it's important to present a strong application.

They’ll assess:

• Income stability - this is where employment history matters.
• Credit history - missed repayments on credits cards etc. can be a red flag.
• Living expenses - they’ll dig into your spending habits.
• Debt-to-income ratio - too much existing debt may affect your borrowing limit.

Being upfront about your financial situation is key. If there are bumps in your credit report, your broker can help you find a lender that’s more flexible.

8. What If You’re Self-Employed?

If you run your own business, don’t worry—you can still get approved for a home loan. Many of our clients are entrepreneurs, freelancers, or contractors, and we know the documentation lenders look for.

You’ll typically need:

• 2 years’ worth of tax returns and financials.
• BAS statements or bank statements if you're recently self-employed.
• Proof of consistent income and business performance.

Some lenders are more flexible than others. At Sabea Financial, we work with lenders who understand self-employed borrowers and won’t penalise you for your business setup.

Frequently Asked Questions (FAQs)

What is the minimum deposit needed for first home buyers in North Shore Sydney?
You can buy with as little as a 5% deposit, especially if you qualify for the First Home Guarantee Scheme.

Are there any stamp duty exemptions for first home buyers in NSW?
Yes, homes under $800,000 may be fully exempt, and partial discounts apply up to $1 million.

Can I use my super to buy a home?
Yes, under the First Home Super Saver Scheme, you can withdraw voluntary super contributions to help fund your deposit.

Do I need to live in the property if I use the FHOG?
Yes, you must live in the home for at least 6 continuous months within 12 months of settlement.

What suburbs are best for first home buyers in North Shore Sydney?
Consider more affordable suburbs like Artarmon, Lane Cove, or Dee Why for units under $1 million.

Can I get a loan if I’m on a single income?
Yes, but your borrowing capacity may be lower. A broker can help you structure your loan to suit your income.

How long does loan approval take?
Pre-approval typically takes 2–5 business days. Full approval may take up to two weeks depending on your situation. just get in touch with us here if you would to understand your borrowing capacity.

Wrapping It All Up: Your Path to North Shore Homeownership

There’s no doubt—home loans for first home buyers in North Shore Sydney come with their fair share of challenges. But with the right advice and a clear plan, your dream of owning a home here is completely within reach.

From understanding your deposit options to using government grants and choosing the right lender, every step counts. And that’s exactly where Sabea Financial can help.

As your local mortgage broker in North Shore Sydney, we make things easier, clearer, and faster. We’re with you from day one - because your first home should be a happy one. Give us a call today on 1300 001 755, or shoot us an email at info@sabea.com.au to get started. You can also visit our homepage here: Sabea Financial

Let’s take that first step together and help you get the home, and home loan you need.