Here is the official announcement from the government on the changes to the 5% deposit scheme:

Through the expanded 5 per cent deposit scheme, the Albanese Government will guarantee a portion of a first home buyer’s home loan, so they can purchase with a lower deposit and not pay Lenders Mortgage Insurance.
 
Under the changes, all first home buyers will have access, with no caps on places or income limits. Property price caps will also be set higher in line with average house prices, providing access to a greater variety of homes.
 
For the average first home buyer, access to the scheme cuts years off the time it takes to save for a deposit and saves tens of thousands of dollars on Lenders Mortgage Insurance. In just the first year alone, first home buyers using the scheme are expected to avoid around $1.5 billion in potential mortgage insurance costs.
 
The median home price in Australia today is $844,000 and 5 per cent of that is $42,200. The last time $42,200 covered the 20 per cent deposit for a median home was 2002, which shows the generational scale of this change.
 

Which again – will do nothing for housing affordability. As senior economist Matt Grudnoff wrote for the New Daily last week:

To be very clear, increasing supply will make housing more affordable, but that is not the easiest and simplest way to fix the housing crisis.

House prices have rapidly increased. They have increased by 75% over the last 10 years.

Over those 10 years, the population has increased by 16%. To house all those extra people, we would need to increase the number of dwellings by 16%. But over that same 10 years, the number of dwellings has increased by 19%. We have been building dwellings at a faster rate than the growth in population.

The massive growth in house prices has not been caused by a lack of housing supply.

If it’s not a supply problem, then what has caused the increase in house prices? It has been caused by a big increase in demand. Specifically, an increase in investor demand. Lots of investors have flooded into the market, outbidding owner occupiers, particularly first home buyers, and pushing up prices.