What Is A First Home Owners Grant

To help first-time buyers get into their own home, the government offers a number of state funding schemes. As well as savings on stamp duty, first home owners may also qualify for a one-off payment called the First Home Owner Grant.

Do I qualify for the First Home Owner Grant (FHOG)?

Eligibility for the First Home Owner Grant depends on several factors, including your state or territory of residence, the amount of money you plan to spend on your home, and whether or not you already own property.

To be eligible for the First Home Owner Grant, you must meet certain criteria. Each state and territory has its own conditions but there are some common threads across the board.

• Be aged 18 years or over
• Be a permanent resident or Australian citizen
• Plan to live in the property as your home for at least six months
• Have never previously owned your own home in Australia.
• However, if you — or a person you are entering into a joint home loan with — have previously claimed the FHOG, you may not be eligible for it again.

What is meant by ‘new’ home?

The FHOG can be beneficial when you buy or build a ‘new’ home—that is, a newly built property that hasn’t previously been lived in or sold as a home.

A home may be considered new if it has been substantially renovated. That means all or most of the building’s structure must have been renovated, fixed or replaced.

Is the First Home Owner Grant available if I am buying an investment property?

The FHOG is available only to first home buyers who live in the property as their principal place of residence for at least six months. The grant is designed to assist people who want somewhere to live, not investors looking to make a quick profit.

First-time homebuyer information by state or territory

Finding the money to buy a home can be difficult, but many local governments offer financial assistance to first-time homeowners.

Australian Capital Territory

The ACT Government’s First Home Owner Grant provides eligible individuals buying their first new or substantially renovated home — valued up to $750,000 — up to $7,000.

The government also offers concessions on stamp duty, which are tied to income thresholds and number of dependants.

For information on the latest first home owner grants visit the Revenue ACT website.

New South Wales

The New Home Owner Grant is worth $10,000 for first home buyers who have bought a newly constructed home:

• buy or build their first new home, which no-one has lived in before and has a value less than $750,000 purchase a new home or a significantly renovated home which has a total value less than $600,000
• Under the NSW Government’s Affordability Package in 2017, first home buyers pay zero stamp duty for new or established first homes priced up to $650,000. There are other discounts on stamp duty for homes priced between $650,000 and $800,000.

The latest first home owner information is available on the Revenue NSW website.

Northern Territory

The Northern Territory’s First Home Owner Grant is a $10,000 cash payment for eligible first home buyers of a new home.

Home buyers may also be eligible for the Territory Home Owner Discount and the BuildBonus grant.

The Northern Territory Government website provides the latest information on first home owner grants.

Queensland

In Queensland, the First Home Owner Grant is worth $15,000 when you buy or build a new home costing less than $750,000.

Stamp duty discounts apply to both new and established homes and can be worth as much as $8,750 for a property valued up to $504,999. For example, someone buying a home valued at $549,999 will pay duty of $875. First home buyers who plan on building their own home on vacant land costing less than $400,000 pay no stamp duty.

The Queensland Government website provides the latest first home owner information.

South Australia

South Australia’s First Home Owner Grant is valued at up to $15,000 for new homes for properties valued up to $575,000 or less.

You may find the latest first home owner information on the Revenue SA website.

Tasmania

First home buyers in Tasmania may be eligible to receive a grant of $20,000 between 1 July 2016 and 30 June 2022. To qualify, the buyers must purchase or build a new home.

The latest first home owner information on Tasmania is available on the State Revenue Office website.

Victoria

Stamp duty on first homes worth up to $600,000 is waived. Discounts on duty apply on a sliding scale for first homes costing between $600,001 and $750,000.

Access the latest first home owner information on the State Revenue Office website.

Western Australia

The first home owner grant in Western Australia is available for new homes valued at $750,000 or less.

First home buyers in Western Australia can take advantage of exemptions from stamp duty when purchasing a new or established home worth up to $430,000 or vacant land costing up to $300,000. A discount on duty applies to vacant land or a home costing up to $400,000 and $530,000 respectively.

The Western Australian Government provides first home owner information on its website.