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What is wrong with DHOAS as it stands
DHOAS pays an eligible borrower a monthly subsidy into their home loan account. The catch is that the loan has to be with one of three lenders the Commonwealth has appointed: NAB, Australian Military Bank and Defence Bank.
That panel has not changed since 2008. The three lenders can charge interest rates above the broader market for the same product. The gap is up to 100 basis points. On a typical $830,000 owner-occupier loan, that costs the borrower approximately $156,000 in additional interest across the 25-year DHOAS subsidy period. Borrowers who do not refinance after the subsidy ends pay more again.
Veterans blocked from accessing their entitlement
The rate gap is one cost. Access is the other. Each of the three panel lenders has its own credit policy. A veteran who does not fit any of them is shut out of the scheme entirely, regardless of years of service or the size of their entitlement.
We act for veterans missing out on over $1,000 a month in subsidy because no lender on the panel will take their loan. Over the maximum 25-year subsidy period that is more than $317,000 in entitlement they will never see. The closed panel is the only reason.
The mechanics make it harder to justify. DVA pays the subsidy directly into the veteran's loan account once they are approved. The lender holds the loan. DVA handles the entitlement. There is no operational reason the two need to come from the same place, and no reason the panel needs to be closed. The administration runs through DVA regardless of which lender writes the loan.
The case put to Defence in Senate Estimates
Independent Senator David Pocock put our figures to the Department of Defence at Senate Estimates.
Senate Estimates, 2 June 2026. Rates as advertised 11 May 2026, before the RBA's 5 May 2026 decision was passed through.
Watch the full Senate Estimates exchange →
Network 10 News on the campaign
Network 10 News covered the closed DHOAS panel and the cost it places on serving and former ADF members. The segment features Stanford Financial's founder Logan Stanford alongside the Minister for Veterans' Affairs and veterans directly affected by the scheme.
Media coverage
The campaign has been picked up by the trade and mainstream press.
- realestate.com.au · 29 May 2026
'Shamefully exploited': Veterans forced to pay $100,000 extra on home loans - Defence Connect · 27 May 2026
Defence personnel, veterans slugged up to $130k tax on home loans - The Adviser · 27 May 2026
Broker calls for urgent action on 'uncompetitive' defence home loan scheme
Parliament has taken the case up
On Tuesday 26 May 2026 the Shadow Minister for Defence Industry and Defence Personnel Phillip Thompson OAM MP raised DHOAS reform in the Federation Chamber.
When young Australians put on the uniform and commit to defending this nation, we make them a promise: that their sacrifice will be honoured. The Defence Home Ownership Assistance Scheme is one of the ways we keep that promise, by helping ADF members into homes. But, right now, that promise is being broken.
First home buyers choose from 33 lenders under the Commonwealth scheme. Our veterans get three. We need to do right by those who serve.
Phillip Thompson OAM MP, House of Representatives Hansard, 26 May 2026
This is the second time Thompson has named the closed panel as a problem on the parliamentary record. In his second-reading speech of 8 November 2022 he called for the panel to be opened to more lenders to drive competition and reduce costs (Hansard, 8 November 2022, p. 2523). Three and a half years on, the architecture is unchanged.
The campaign so far
On 11 May 2026 Logan Stanford of Stanford Financial wrote to the Treasurer, the Shadow Treasurer and the crossbench. The letters set out the case for opening the panel under section 78 of the DHOAS Act, with rate parity written into the deeds of agreement on the same terms Housing Australia applies to the First Home Guarantee. No legislation required. A procurement decision the Government can make today.
Read the press release (PDF, 11 May 2026)
This is about choice, not arithmetic
The standard defence of the closed panel is that the subsidy makes DHOAS worth taking even at the panel rate. The numbers add up, so what is there to complain about.
That misses the point.
The subsidy is the entitlement, paid by the Commonwealth out of consolidated revenue. The rate is the loan, paid by the borrower to the bank. One does not justify the other. Veterans should not be charged more than the market charges everyone else for the same product, with their own entitlement quietly making up the difference.
Why Stanford is fighting this
We owe a Best Interests Duty to the ADF members and veterans we act for. We see what the closed panel costs them on every family we work with. These are people who signed up to serve their country. They deserve a fair go on their home loan.
The procurement now in market, AusTender DRH 25/26 DHOAS, will appoint the new panel from 1 July 2026 for an initial term of seven years. If nothing changes before that procurement closes, the existing architecture is locked in until 2033.
What reform would mean
The model already exists. Housing Australia administers the First Home Guarantee across 33 accredited lenders, with rate parity built in. Two changes apply that model to DHOAS.
Accreditation opens to any lender meeting published criteria. This competition, along with rate parity being written into the panel deeds of agreement, will mean DHOAS borrowers receive the standard owner-occupier rate the lender would offer any other borrower. Veterans do not have to make sacrifices to access their entitlement.
The subsidy formula under sections 49 to 53 of the DHOAS Act does not change. The Commonwealth's cost does not change. The value of the subsidy reaches the borrower instead of being absorbed by an above-market rate. And the veterans currently blocked from the scheme can use the entitlement they have earned through their service.
What happens next
Three things to watch.
- The AusTender DRH 25/26 DHOAS procurement is the immediate decision point. Either the Government invites open accreditation against published criteria, or the existing panel is locked in until 2033.
- The Government has now been pressed on the panel in Senate Estimates and took questions on notice. Whether it answers, and whether it puts an open-accreditation alternative on the table before the procurement closes, is the next test.
- The Government's formal response to the case Stanford has put will sit alongside its existing commitments on the ACCC Home Loan Price Inquiry and the Royal Commission into Defence and Veteran Suicide.
We will update this page as each of those moves.
If you have served, or are serving
Stanford Financial acts for ADF members and veterans on home loan applications, including DHOAS files. If you want to talk through how the current panel affects your own circumstances, or what reform could mean for a loan you already hold or are planning, we are here for that conversation.
Who is eligible for DHOAS?
ADF members may be eligible for home loan subsidies under the Defence Home Ownership Assistance Scheme (DHOAS). Stanford Financial is accredited with Australian Military Bank, a DHOAS home loan provider, and can assist eligible members to apply for an Australian Military Bank DHOAS home loan. We are unable to confirm your eligibility for DHOAS. For full eligibility criteria, visit dhoas.gov.au or call 1300 434 627.
Specialist defence home loan advice from a fellow veteran
Stanford Financial's Managing Director, Logan Stanford, is an Australian Army veteran. Our team understands the unique challenges of ADF home ownership: frequent postings, deployment cycles, HPAS timing, and the interaction between DHOAS, the First Home Guarantee, and Queensland stamp duty concessions.
Getting the most out of DHOAS requires more than a calculator. It requires knowing when to activate your certificate, which tier you're approaching, whether the lump sum makes sense at your loan stage, and which HLP product best suits your financial profile. That's a conversation we're built for.
- We are accredited with AMB and have direct ADF experience
- Expertise inFirst Home Guarantee, and stamp duty concessions
- Based in Springfield Central, servicing ADF members across Australia
- Free assessment, no obligation, no impact on your credit file
Ready to maximise your DHOAS entitlement?
Or call us on 0483 980 002.
Related Services and Guides
Stanford Financial Defence Services
- Home Loans for Defence Personnel — Our specialist defence home loan service including DHOAS, HPAS, and veteran lending
- First Home Loans — First Home Guarantee, FHOG, and stamp duty concessions for first-buying ADF members
- Home Loans — Full range of home loan products across 50+ lenders
Useful Calculators
- Borrowing Power Calculator — Find out how much you can borrow — your DHOAS subsidy reduces effective loan cost
- Home Loan Repayment Calculator — Model your repayments after the DHOAS subsidy is factored in
- Extra Repayments Calculator — See how applying your DHOAS lump sum to principal reduces your loan term
- Stamp Duty Calculator QLD — First home buyer ADF members may pay zero stamp duty on new homes
- LMI Calculator — ADF members using the First Home Guarantee avoid LMI with a 5% deposit
Official DHOAS Resources
- DHOAS Official Website — Official subsidy rates, tier limits, eligibility, and application process
- DHOAS Subsidy Calculator (Official) — DVA’s own calculator for verification
