100% Home Loan – Secure Your Dream Home Faster (2026)

In the ever-evolving world of real estate, the dream of owning a home can often feel like a distant reality for many Australians. One of the most common hurdles is the substantial deposit that is typically required. You're not alone if you've found yourself asking, "Can I borrow 100 percent of a home loan?" In 2026, as property prices continue to rise, understanding your options for securing a 100% home loan is more crucial than ever.

Understanding 100% Home Loans

To put it simply, a 100% home loan allows you to borrow the full purchase price of a property without needing a deposit. Traditionally, lenders require a deposit of at least 20% of the property's value, but a 100% home loan eliminates this upfront cost. While this might sound ideal, these loans come with specific requirements and risks that must be considered carefully.

Current Market Conditions and Options

In 2026, the Australian property market remains competitive, with interest rates for home loans ranging between 6.49% and 12%. The possibility of securing a 100% home loan is largely influenced by your financial situation and the lender's criteria. Here's a closer look at the options available:

Many lenders, including those in Esteb and Co's panel of 83+, offer potential pathways to secure a 100% home loan, but they typically require a guarantor or are part of special lending packages for professionals.

Steps to Secure a 100% Home Loan

If you're considering a 100% home loan, follow these steps to improve your chances of approval:

1. Assess Your Financial Health: Ensure a strong credit score and stable income. Lenders need assurance of your ability to repay the loan.
2. Consider a Guarantor: A family member, often a parent, can provide additional security for the loan by using the equity in their property.
3. Explore Professional Packages: If you have a professional qualification (e.g., doctor, lawyer), you might be eligible for special packages with favourable terms.
4. Consult a Mortgage Broker: Connect with experts, like those at Esteb and Co, who can guide you through the maze of available options from their extensive lender panel.
5. Prepare Documentation: Gather necessary documents such as proof of income, credit history, and any other financial statements to support your application.

Expert Tips and Considerations

While a 100% home loan can make home ownership more accessible, it’s important to weigh the pros and cons:

• Higher Interest Costs: Without a deposit, the total loan amount is higher, leading to more interest payments over time.
• Market Fluctuations: Be aware that property values can fluctuate, and starting with no equity could lead to negative equity if market prices fall.
• Loan Terms: 100% loans often come with stricter terms and conditions, including higher interest rates.
• Long-Term Financial Planning: Ensure you have a robust financial plan to manage the repayments comfortably.
• Use a Mortgage Broker: Leverage the expertise of mortgage brokers to find the best possible terms from a wide range of lenders.

Frequently Asked Questions

1. Can I get a 100% home loan without a guarantor?

   It's challenging but possible through certain professional packages. However, having a guarantor significantly improves your chances.

2. What is the risk of a 100% home loan?

   The primary risk is negative equity if property values drop. You'll also face higher interest costs over the life of the loan.

3. How does a guarantor loan work?

   A guarantor loan uses someone else's property as security, reducing the risk to the lender and often resulting in better loan terms.

4. Are there additional fees with 100% loans?

   Yes, expect additional fees such as lender's mortgage insurance, which protects the lender if you default on the loan.

5. Can first-time buyers access 100% home loans?

   Yes, particularly if they can secure a guarantor or qualify for special first-time buyer incentives.

6. Is a 100% home loan the best option for me?

   It depends on your financial situation and long-term goals. Consulting a mortgage broker can help tailor the decision to your needs.

Navigating the path to home ownership without a deposit might seem daunting, but with careful planning and expert advice, it’s achievable. At Esteb and Co, we pride ourselves on helping Australians find the best possible loan solutions from our wide network of lenders.