The Defence Home Ownership Assistance Scheme (DHOAS) has not fundamentally changed — but the property market around it has. For many ADF members, DHOAS still provides meaningful support. But in higher-priced markets, and in more complex property decisions, it often carries less weight than members expect.
DHOAS still operates as a monthly subsidy on the interest of an eligible home loan. The published subsidised loan limits are: Tier 1: $413,690, Tier 2: $620,535, Tier 3: $827,380. As at March 2026, the published median rate is 6.09%, with indicative monthly subsidies of up to Tier 1: $490, Tier 2: $736, Tier 3: $981.
DHOAS remains genuinely valuable in regional and secondary markets, for early-career ADF members buying modestly, and for long-term owner-occupiers.
In high-priced capital-city markets, for buyers stretching borrowing capacity, and for investment-driven decisions, DHOAS should be treated as a secondary benefit.
DHOAS subsidy is not payable if any part of the interest in the land is held as trustee or as a beneficiary of a trust. Members considering trust structures should get advice early.
DHOAS remains a valuable support tool — but it is no longer a silver bullet. It helps most when paired with price discipline, should support not drive your strategy, and its impact varies by location, purchase price and loan structure.
Contact: info@firmfoundationsproperty.com.au