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As a first home buyer, you could be eligible for a First Home Owner Grant. Under the scheme, a one-off grant is payable to first home owners that satisfy all the eligibility criteria.
While it's a national scheme, it is funded and administered by each individual state and territory. Each state and territory offers first home buyers a different variation of concessions and grants to help them buy a new or existing home, or vacant land.
In New South Wales first home buyers are eligible to apply for two different schemes, whereas in Queensland are eligible to apply for the Queensland First Home Owners’ Grant initiative.
NSW First Home Buyer Grants and Schemes
If you are a first home buyer in New South Wales, there are two schemes you may be able to get assistance under.
To qualify as a first home buyer you;
If you're a first home buyer in New South Wales who is buying an existing home, buying a new home or vacant land on which you intend to build a new home, you may be eligible for the First Home Buyer Assistance Scheme. Under this scheme, you could be entitled to a concessional rate of transfer duty, or even an exemption from paying it altogether as a first home buyer.
To calculate whether you are eligible to apply for a full exemption or concessional rate of transfer (stamp) duty use the First Home Buyers Assistance Calculator.
To qualify to apply for the FHBAS, you must meet the following requirements:
After exchanging contracts with the previous owner, you can apply for the FHBAS by downloading and completing the following two documents available from revenue.nsw.gov.au
Once you have completed your application forms and supporting documents, you need to lodge them with your solicitor and conveyancer.
If you're a first home buyer in New South Wales who is buying a new home or vacant land on which you intend to build a new home, you may be eligible for the First Home Owner Grant.
This is a $10,000 grant for purchasing or building a new home. If you're purchasing a new home the value must not exceed $600,000. If you're building a new home, the property value (house and land) must not exceed $750,000.
If eligible, you can apply for the First Home Owner Grant through Heritage Bank when you arrange your home loan.
Alternatively, if you have already completed the purchase process or construction has commenced for your home, you can send your application directly to Revenue NSW. You will need to send your application within 12 months of settlement or from the date that construction was completed and provide supporting documentation. If you are building a new home this will include council approval, building contracts or occupation certificates, and evidence of the land value. Additional documentation may be required upon request.
To learn more about how to apply, and all eligibility requirements, visit the First Home Owner (New Homes) help guide on the NSW Government website.
QLD First Home Owners' Grant
In Queensland, to help first home owners to get their new first home sooner, you can apply for the Queensland First Home Owners’ Grant.
This is a $15,000 grant for buying or building a new home. The home you are buying or building must be new and valued less than $750,000 (including land).
To be eligible to apply for the grant you must be a first home buyer who meets the following requirements:
Take the full eligibility test on the Queensland Government website.
You will need to complete an application form as well as provide the appropriate documentation. Supporting documents can vary depending on the situation of your new home e.g. buying a brand new home, building a home or building your own home. The application form will inform you as to what documents are mandatory for your situation.
You must submit your application within 1 year of taking possession of the new home or the build being completed.
If you are taking out your home loan through Heritage Bank, we can assist you with your Queensland First Home Owners’ Grant application.To find out more information on the Queensland First Home Owners' Grant, visit the Queensland Government website.
Other grants available
For more information on the different initiatives for first home buyers from the Commonwealth and other states, you can find more details and resources available on the below websites.
SA: Revenue SA
VIC: State Revenue Office
ACT: Revenue ACT
TAS: State Revenue Office
Most First Home Owner Grants are paid directly into your mortgage loan after settlement occurs, and as such most lenders will still require you to have a deposit when applying for a loan. The percentage of the deposit required will vary between lenders. Talk to us today before you start looking at buying your first home.
Once you're ready to purchase and need to apply, your conveyancing lawyer will be able to assist you with all the paperwork to apply for the relevant grant when purchasing your first home.
If you'd like to learn more about buying your first home, our first home buyer hub can help you.