Buying your first home is one of the biggest financial commitments you will make. So, there are countless government programs throughout Australia to make this process a whole lot easier. However, the tricky part is trying to work out which concession, grant or scheme applies to you and where you’re purchasing your first home. Here’s a rundown of everything that may apply to you when purchasing your first home, but don’t forget to check with us first as they are subject to change.
Nation Initiatives
First Home Guarantee
From 1 July 2022, 35,000 new homes are available as part of the First Home Guarantee each financial year. This will allow eligible first home buyers to purchase a house with a 5% deposit without having to pay lenders mortgage insurance (LMI).
The eligibility of the first home buyer for this scheme includes income and purchase price of the property. As shown in the chart below.
Family Home Guarantee
From 1 July 2022, 5,000 homes will become available per financial year to single parents with at least one dependent child. With a minimum deposit of 2% required. Buyers may have previously owned a home but cannot currently be a homeowner.
The eligibility of the first home buyer for this scheme includes income and purchase price of the property. As shown in the chart below.
Regional First Home Buyer Support Scheme
This scheme is expected to start of the 1 January 2023 and will help 10,000 first home buyers in regional Australia each year. This will allow buyers to purchase a house using a 5% deposit with no LMI. However, buyers must have been living in the regional area that they are wanting to purchase in for at least 12 months prior.
The eligibility of the first home buyer for this scheme includes income and purchase price of the property. As shown in the chart below.
Help to Buy Scheme
As of October 2022 this government scheme has not yet been legislated but was one of Labor’s election commitments. It is a shared equity scheme where the government would co-purchase up to 40% of a new house, or 30% of an existing one. The homeowners could then buy out the government over the course of the loan or pay the government off when the property is sold.
As this scheme is yet to be legislated you can read more about it on the governments website here.
The eligibility of the first home buyer for this scheme includes income and purchase price of the property. As shown in the chart below.
Eligibility Overview |
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Specifications | First Home Guarantee | Family Home Guarantee | Regional First Home Buyer Support Scheme | Help to Buy Scheme |
Minimum Deposit Required | 5% | 2% | 5% | 2% |
Property Type | New and existing | New and existing | New and existing | New and existing |
No. Places per Year | 35,000 | 5,000 | 10,000 | 10,000 |
Date of Latest Round | 1/Jul/22 | 1/Jul/22 | 1/Jan/23 | TBC |
Price Cap | Yes | Yes | Yes | Yes |
Income Test | $125k pa (s)
$200k pa (c) |
$125k pa | $125k pa (s)
$200k pa (c) |
$90k pa (s)
$120k pa (c) |
(s) Single (c) Couple
Price Caps for Home Guarantee Scheme: |
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State or Territory | Capital city or regional centres | Rest of state |
NSW | $900,000 | $750,000 |
VIC | $800,000 | $650,000 |
QLD | $700,000 | $550,000 |
WA | $600,000 | $450,000 |
SA | $600,000 | $450,000 |
TAS | $600,000 | $450,000 |
ACT | $750,000 (all areas) | N/A |
NT | $600,000 (all areas) | N/A |
You can search the property price threshold for a postcode or suburb here.
State Government Incentive
Victoria
First Home Owner Grant
Eligible Victorians that are planning or purchasing or building their first home valued at up to $750,000 can receive a $10,000 grant from the State Government. There are further concessions available depending on your specific circumstances.
To find out more click here.
Duty Exemption/ Concessions
Exemptions of duty fees are available to first home buyers if they purchase a new or existing home with a value up to $600,000. A 50% duty concession is available to first home owners purchasing a new or existing property valued from $600-750,000.
To find out more click here.
Homebuyer Fund
The recently launched homebuyer Fund is similar to the Federal Governments ‘Help to Buy Scheme’. As it will see the Victorian Government help 3,000 homebuyers into the market in a shared equity arrangement. This scheme is not limited to first homebuyers, but potential purchasers cannot currently own property.
Homeowners will need to have a 5% deposit, with the government contributing up to 25% of the property’s value. Aboriginal and Torres Strait Islander Victorians can apply for the fund with a 3.5% deposit.
In Melbourne and Geelong, the value of the home is capped at $950,000, with the rest of state’s houses capped at $600,000.
To find out more click here.
New South Wales
First Home Owner Grant
Those eligible that are planning or purchasing or building their first home can receive a $10,000 grant from the State Government.
For new properties and those substantially renovated the value must not exceed $600,000. For land you plan to build on, the total value of the land and the build cannot exceed $750,000.
First Home Buyer Assistance Scheme
First home buyers purchasing an existing home will pay no transfer (stamp) duty, on properties worth up to $650,000. If the existing property is worth between $650,000 and $800,000 then there may be a concessional transfer duty which will be based off the value of your home.
For new homes however, you can apply for a full exemption on the transfer duty is the value of the property is lower than $800,000. If the value of the new home is between $800,000 and $1 million, then there may be a concessional transfer duty which will be based off the value of your home.
You won’t have to pay transfer duty on vacant land worth less than $400,000, and a concessional rate on land up to $500,000.
For further information on both schemes click here.
Queensland
First Home Owners Grant
Eligible Queenslanders can get $15,000 towards purchasing their first property If valued at less than $750,000.
To find out more click here.
Transfer Duty Concessions
Exemptions of transfer duty fees are available to first home buyers if they purchase a new or existing home with a value up to $500,000 and vacant land valued up to $400,000.
To find out more click here.
Western Australia
First Home Owner Grant
Western Australians that are planning or purchasing or building their first home can receive a $10,000 grant from the State Government. Eligible properties located south of the 26th parallel are limited to $750,000 while properties to the north can be valued at up to $1 million.
To find out more click here.
First Home Owner Rate of Duty
Exemptions of stamp duty fees are available to first home buyers if they purchase a new or existing home with a value up to $530,000 and vacant land valued up to $400,000.
To find out more click here.
South Australia
First-Home Owner Grant
South Australian first home buyers intending on purchasing a new home up to the value of $575,000 are eligible for a grant of $15,000.
To find out more click here.
Tasmania
First Home Owner Grant
First home buyers who are planning on building their house or purchasing a newly built home may be entitled to a $30,000 grant.
To find out more click here.
Duty Concession
First home owners can apply for a 50% concession on stamp duty if the value of their property is under $500,000.
To find out more click here.
Australian Capital Territory
Home Buyer Concession Scheme
The ACT no longer offers a first home owner grant. Instead, they offer their Home Buyer Concession Scheme, this is eligible to people who have not owned property for more than 2 years and who meet certain income thresholds. Depending on the size of the family purchasing, value of the property, income of those purchasing amongst other eligibility criteria will determine the amount of stamp duty waived.
From 1 July 2021, the concession cap was $35,910.
To find out more click here.
Northern Territory
First Home Owners Grant
If you are planning on building or buying your first home in the Northern Territory you will be eligible for a $10,000 grant regardless of the value of the property and your income.
Extra Information
In South Australia, Western Australia, and Queensland there are low deposit loans available for those that cannot access a loan from mainstream lenders.
In South Australia it is called HomeStart.
In Western Australia it is called Keystart.
And in Queensland it is called the Queensland housing finance loan.