Your complete guide to home buyer incentives in Australia
It might be the in thing right now to #vanlife and do a lap around Australia, but we’re mortgage brokers, so we’re going to go on a different kind of lap.
From Tassie to the Territory, from the West Coast to the East, we’ve rounded up a comprehensive list of government schemes and incentives designed to help home buyers in 2024, whether it’s your first home or a fresh start.
Queensland
The sunshine state, whether it’s Cooloongata, the tip of Cape York or an outback adventure there’s a raft of incentives available to Queensland home buyers, let's explore them.
First Home Owner Grant
One of the most generous first-home buyer schemes on offer comes from the Queensland Government.
What is it: A $30,000 grant to first-home buyers who build or buy a new home valued at less than $750k
Who is eligible: First home buyers aged over 18 years with Australian Citizenship building or buying a new, or substantially renovated home, which has not previously been occupied. To be eligible for the grant the home must be your primary place of residence for a minimum of 12 months before it can be rented. An investment property is not eligible.
Things you might not know: Home buyers who have not owned a home since July 2000 may be eligible for the First Home Owner Grant. This grant is available to owner-builders, off-the-plan purchases, new homes, contract builds and established homes that have undergone substantial renovation and have not been occupied since the renovations took place. In Queensland, first-home buyers are also eligible for a concession on stamp duty regardless of whether the purchase is for a new or established home.
In Queensland, first home buyers are also eligible to receive the First Home Concession which means you’ll pay no Stamp Duty Tax on any home purchase valued at $700k or less.
New South Wales
Head south of the border and you’ll find similar grants available to residents of New South Wales purchasing their first home.
First Home Owner Grant
What is it: The NSW First Home Owner Grant (FHOG) is a $10,000 grant available to first home buyers in New South Wales purchasing a brand new, or substantially renovated home. Your first home can be a house, townhouse, apartment or unit that is newly built, purchased off the plan or has undergone substantial renovations. If purchasing a newly built or substantially renovated home, the purchase price must not exceed $600k. If you’ve purchased a house and land, the combined value of the build and land must not exceed $750k.
Who is eligible: NSW residents over the age of 18 who are Australian citizens. The buyers must not have previously owned a home before 1 July 2000.
Things you might not know: You need to occupy your home for a minimum period of 12 months before selling or renting the property or you could be liable to repay the FHOG. In some cases, members of the Australian Defence Force may be exempt from this requirement. You may still be eligible for the FHOG if you purchased a home after 1 July 2000 and did not live in it for more than 6 continuous months.
In NSW from 1 July 2023, a full exemption from transfer duty will be available if you are buying a new or existing home valued up to $800,000, while homes valued over $800,000 and less than $1,000,000 may qualify for a concessional rate.
If you are purchasing vacant land on which you intend to build a home, you may receive an exemption for land valued up to $350,000 and a concessional rate for land valued over $350,000 and less than $450,000.
South Australia
From Adelaide to the Barossa and beyond, South Australia offers both a grant for first-home buyers building or buying a new one, as well as stamp duty concessions for all first-home buyers.
First Home Owners Grant
What is it: A $15,000 grant for all first-home buyers building or buying a brand new home. From 1 June 2024, the South Australian government removed the purchase price cap on this grant.
Who is eligible: South Australian residents over the age of 18 purchasing their first home that is newly built and not previously been occupied. At least one buyer must be a permanent resident or citizen of Australia. New Zealand citizens with Special Visas may also be eligible. There is no upper limit on the value of your home purchase if the contract was signed after 1 June 2024.
Things you might not know: all applicants must reside in the home as their principal place of residence for a continuous period of at least 6 months commencing within 12 months of the date of settlement for contracts to purchase, or the date construction is completed for owner builders or contracts to build.
Stamp Duty Relief is available to all first-home buyers in South Australia regardless of whether you’re purchasing a new or established home. From 1 June 2024, there is no cap on the property value to be eligible to receive this concession.
Western Australia
Head out west to the land of white sandy beaches, the Pilbara and seemingly endless plains of untouched land. Here’s how you can access government grants when buying a home in WA.
First Home Owners Grant
What is it: The first home owner grant (FHOG) is a one-off $10,000 payment to encourage and assist first-home buyers to buy or build a new residential property for use as their principal place of residence.
Who is eligible: Open to WA residents over the age of 18, at least one applicant must be an Australian Citizen or Permanent Resident. You must also have an interest (ie own) the land on which the home is being constructed. In WA the requirements for the value of the property differ depending on the location of the home you’re building or purchasing, you can find out more about that here.
Things you might not know: Each occupant must occupy the home for a period of 6 continuous months within the first 12 months of completion. Failure to meet this requirement may result in repayment of the grant.
The First Home Owner Rate (FHOR) is a concession on Stamp Duty for first home owners whether purchasing an established home, or building or buying a new home. There are a number of caveats and limits attached to this concession, we recommend you read these online or chat with your broker.
Tasmania
It’s down to the Apple Isle, an island home to a little more than half a million Australians with big rewards on offer for first-home buyers.
First Home Owner Grant
What is it: A $10,000 grant for first-home buyers building or buying a brand new home in Tasmania.
Who is eligible: Tasmanian residents over the age of 18, with at least one applicant being an Australian Citizen or permanent resident. You must not have owned a home in Australia prior to 1 July 2000 or received a first home buyer grant in any other state or territory in Australia.
Things you might not know: In Tasmania, you can apply for the FHOG for a moveable building (not a caravan) provided it is newly constructed.
First-home buyer duty relief provides stamp duty concession of up to 50% for first-home buyers purchasing an established home. Anyone receiving this duty relief must occupy the home for a minimum of 6 continuous months in the first 12 months of purchasing the home.
Northern Territory
Welcome to the top end, where it’s always humid and you can’t swim in the waterways.
First Home Owner Grant
What is it: A $10,000 grant for NT residents buying or building their first home. The home must be brand new and not previously lived in.
Who is eligible: Northern Territory residents purchasing their first home. The home can be a house, unit or duplex but must be newly constructed and never lived in. There is no upper limit on the purchase price to be eligible to receive the grant.
Things you might not know: At least one applicant for the FHOG must live in the home as their principal place of residence within 12 months of completion. They must stay there for a continuous period of at least six months.
HomeBuild Access Loans
What is it: A scheme from the NT government to help residents get into a home by offering government loans for a portion of the purchase price of the home. You do not need to be a first home buyer to access this scheme. The NT government will provide buyers with a government loan for the construction of a new home, requiring only a 2.5% deposit from the buyer. The government will provide a loan for 17.5% meaning you need to finance the remaining 80% from a financial institution.
Who is eligible: You must be an NT resident for a minimum of 12 months, and have been employed for 12 months. You must engage an NT builder to build a new home, and limits of the value of the home apply. All the details can be found on this fact sheet.
Things you might not know: There are a number of loan schemes available under the HomeBuild Access program, some exclusive to first-home buyers and others not. We recommend you check out this info from the NT government to see if you meet the requirements for any of these loans.
ACT
The capital of Australia has a few different homeowner grants and schemes available. As one of the most tightly held and expensive cities to live in Australia, the ACT is looking for ways to make home ownership easier for Canberrans.
Land Rent Scheme
What is it: A scheme to help ACT residents buy a home by leasing the land to them. This means the home buyer only needs to pay the cost of the build for the home and a nominal rent for the lease of the land.
Who is eligible: This is means-tested and available to low-middle-income earners residing in the ACT
Things you might not know: Your rent is tested annually and if it exceeds the cap for two consecutive years you may no longer be eligible for a concessional crown rent. All applicants are required to attend an information session on the scheme before applying.
Affordable Home Purchase Scheme
What is it: The Affordable Home Purchase Scheme provides a pathway to home ownership. It's for households with low-to-moderate incomes and who are ready to buy their first home.
Who is eligible: ACT residents over the age of 18 who have not previously owned a home and meet the income and asset tests. This scheme is awarded by ballot and there are a limited number of schemes available each year.
Things you might not know: You can purchase a home through this scheme if you don’t live in Canberra, but you must live in the home for at least 12 months to be eligible.
The ACT has a number of Concession Duty schemes available to first-home buyers, pensioners and people with a disability. Explore all of these and their requirements here.
National Scheme
Home Guarantee Scheme
(HGS) Is an Australian Government initiative to support eligible home buyers to buy a home sooner. It is administered by Housing Australia on behalf of the Australian Government.
Under the FHBG, part of an eligible home buyer’s home loan from a Participating Lender is guaranteed by Housing Australia. This enables an eligible home buyer to buy a home with as little as 5% deposit without paying Lenders Mortgage Insurance. A big saving for first-home buyers looking to enter the market sooner.
For the FHBG, any Guarantee of a home loan is for up to a maximum amount of 15% of the value of the property (as assessed by the Participating Lender). This Guarantee is not a cash payment or a deposit for a home loan.
This scheme can be used for the purchase of an established home and is open to not only first-home buyers, but those who haven’t owned a home in the past 10 years. There are income limits for singles and couples and the amount of deposit required will vary based on your financial circumstances.
That’s a lap!
We hope you’ve gained a little more insight into the various schemes and grants available to Australians looking to buy a home. This information is always changing and updating. Get in touch with your broker for the most up-to-date advice, and to see if you’re eligible for one of these incentives.