First Home Buyer Schemes & Concessions

Australian Government initiatives to support eligible home buyers to buy a home sooner are administered by Housing Australia. The Victorian and other state governments have other initiatives such as stamp duty exemptions or discounts for purchases up to certain values. In this article Victoria's stamp duty exemptions will be explored, if you have queries regarding other states feel free to contact us.

Many different requirements need to be met for these schemes and something that we can help you unpack. We have extensive knowledge dealing with these applications and can help guide you through your first home purchase!

First Home Guarantee (FHBG)

The First Home Guarantee (FHBG) is part of the Home Guarantee Scheme (HGS), Home buyers applying for the FHBG need to have between 5% and 20% of the value of an eligible property saved as a deposit. The minimum deposit required for the FHBG is 5%.

From 1 July 2023 to 30 June 2024, 35,000 FHBG places are available. 

Eligibility Requirements:

• Applying as an individual or 2 joint applicants  

• An Australian citizen(s) or permanent resident(s)* at the time they enter the loan

• At least 18 years of age

• Earning up to $125,000 for individuals or $200,000 for joint applicants, as shown on the Notice of Assessment (issued by the Australian Taxation Office) 

• Intending to be owner-occupiers of the purchased property 

• First-home buyers or previous homeowners who haven't owned a property in Australia in the past ten years.

  
  

Family Home Guarantee (FHG)

The FHG aims to support eligible single parents or eligible single legal guardians of at least one dependent to buy a home, whether that single parent or single legal guardian is a first home buyer or a previous homeowner. This enables an eligible home buyer to purchase a home with as little as a 2% deposit without paying Lenders Mortgage Insurance.

From 1 July 2023 to 30 June 2024, 5,000 FHG places are available. 

Eligibility Requirements:

• Applying as an individual  

• A single parent or single legal guardian of at least one dependent (see Eligible Single Parent and Eligible Single Legal Guardian note below) 

• An Australian citizen or permanent resident* at the time they enter the loan  

• At least 18 years of age  

• Earning no more than $125,000 per year  

• Intending to be the owner-occupier of the purchased property  

• NOT currently owning property, or upon settlement of the guaranteed property they’re buying, not intending to own a separate property.

Victorian Government Stamp Duty Exemption / Concessions

The First Home Buyer Duty Exemption Concession or Reduction is aimed at helping first home buyers get on the property ladder by reducing or eliminating the cost of stamp duty on many homes. 

Eligibility Requirements:

• Your home has a dutiable value of:

• $600,000 or less to receive the first home buyer duty exemption

• $600,001 to $750,000 to receive the first home buyer duty concession.

• All the purchasers of the property meet the First Home Owner Grant eligibility criteria, and at least one purchaser satisfies the residency requirement.

The dutiable value is usually the contract price. If you buy your home off-the-plan, the dutiable value is determined after applying any off-the-plan concession. This means it will probably be less than the contract price. The exemption or concession is only available to you once. If you or your partner has received the benefit of this exemption or concession previously, you cannot receive it again.

Using the Australian Government schemes means you can only access participating lenders. These schemes may not be right for your situation, your needs and objectives may be met by different loan products.