2022: Government Grants and Schemes For First Home Buyers

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For all the information on the new Regional Home Guarantee and expansions to other homebuyer schemes, go here.

There are a number of government grants and schemes available for first home buyers both at the national and state level.

However, numerous surveys have found that there is a lack of awareness among first home buyers about these programs.

So here we list the major announced first home owners grants and schemes as of 2022.

Nationwide government schemes for first-home buyers

Four major national government schemes are now available for first-home buyers or will be available within calendar year 2022:

60,000 Places From 1 July 2022

Beginning in financial year 2022-23, the government will provide a total of 50,000 places each year under the various schemes:

  • 35,000 total places a year under the First Home Guarantee; this is an increase from the 10,000 currently available
  • 5,000 additional places a year under the Family Home Guarantee, from 1 July 2022 to 30 June 2025
  • 10,000 places under the new Regional Home Guarantee from 1 October 2022 to 30 June 2023; this scheme would be open to first-home buyers and anyone who has not owned property within the last five years. The legislation has not passed yet.
  • 10,000 places under the Help to Buy Scheme from 1 July 2022

Help To Buy Scheme

The Help to Buy Scheme is a shared equity scheme wherein the government helps first-home buyers purchase a home by contributing up to 40% of the property price for a new home and up to 30% for an existing one.

The scheme is designed to help with the longstanding affordability crisis. There will be 10,000 places available for eligible Australians each year. It will be available from 1 July 2022.

First Home Guarantee

This scheme allows eligible first-home buyers to purchase a new or existing home with a deposit of just 5%, without paying tens of thousands of dollars in Lenders Mortgage Insurance (LMI).

The scheme will now have 35,000 places each financial year, beginning from 1 July 2022.

Tip: For your best chance to secure a place in the scheme, have your tax returns done as soon as possible. To apply, you’ll need your latest Notice of Assessment from the Australian Taxation Office (ATO).

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Family Home Guarantee

This is an initiative to help eligible single parents with dependants purchase a family home sooner.
Under the scheme, single parents can buy a home with just a 2% deposit without paying Lenders Mortgage Insurance.

The Family Home Guarantee is available through financial year 2025.

This scheme originally offered 10,000 total places spread across four years. The government has now added 5000 new places each year, from 1 July 2022 to 30 June 2025.

Regional Home Guarantee

The new Regional Home Guarantee will allow borrowers to buy or build a home in select regional areas with a deposit as small as 5%, without paying Lenders Mortgage Insurance. The scheme will include 10,000 places each year, from 1 October 2022.

The Regional Home Guarantee is open to first-home buyers and anyone who has not owned property in the last five years. Permanent residents are eligible.

If the legislation passes, the scheme will be available from 1 October 2022 to 30 June 2025.


Super Home Buyer Scheme

The Coalition proposed the Super Home Buyer Scheme ahead of the federal election in May 2022. It is designed to help first-home buyers purchase a home sooner by using part of their super as a deposit. The plan will go into effect only if the Coalition wins re-election. You can get all the details of the scheme here.



First Home Super Saver Scheme

The First Home Super Saver Scheme allows first-home buyers to save a deposit for their first home inside their super account, to take advantage of the concessional tax treatment.

Under the scheme, the government has increased the total amount of savings borrowers can release from super to make a deposit on a home from $30,000 to $50,000.

Tip: You’ll need a determination letter from the ATO (Australian Taxation Office) specifying the amount that can be released from your super to use as a deposit for a home loan.

Find Out Which Schemes Are Available To You

Home Loan Experts can show you the government schemes for which you’re eligible and help you apply. Please speak with one of our specialist mortgage brokers by giving us a call on 1300 889 743 or by filling in our short assessment form to buy your first home. Find out the best path to your new home today!


Can I apply for multiple government grants and schemes?

Yes, you can if you’re eligible.

For example, an eligible first home buyer can technically apply for and qualify for the FHOG, the FHLDS, and the HomeBuilder grant while paying no stamp duty.

Since each government grant/scheme has its own eligibility criteria and timelines, getting these three to align properly becomes challenging, so, please speak with one of our specialist mortgage brokers to determine how best to proceed with this.

Call us on 1300 889 743 or fill in our online assessment form.


State-specific government grants and schemes for first home buyers

Each state has its own policy on the:

Please note that the FHOG is only available to first home buyers either purchasing or building a new home.

Australian Capital Territory (ACT)

The Australian Capital Territory replaced the First Home Owners Grant with the Home Buyers Concession Scheme.

Under the Home Buyers Concession Scheme, home buyers in the ACT will not pay stamp duty on a home purchase, subject to the following eligibility criteria:

  • All buyers must be 18 years of age or above.
  • The total gross income (before tax), including the partners (if any) must not be greater than the income threshold*.
  • All buyers including their partners (if any) must not have owned any other property in the last two years.
  • At least one buyer must live in the home continuously for at least one year, starting within 12 months of settlement or completion of construction.

Unlike the previous concession scheme, you can now purchase vacant residential land, and both new and established properties, anywhere in the ACT and at any price.

*The maximum income threshold for applicants without dependents should not exceed $160,000; for each dependent, the income threshold increases by $3,330 with the max set at $176,650.

For more information, please visit ACT Revenue Office’s website.

New South Wales (NSW)

First home buyers in NSW may be eligible for a:

  • $10,000 First Home Owners Grant for a new home that no-one has lived in before.
  • Full transfer (stamp) duty concession for both new and established properties valued up to $650,000, and partial concession for homes valued between $650,000 and $800,000.
  • No stamp duty for vacant land valued at less than $350,000. And for land valued between $350,000 and $450,000, you’ll receive a concessional rate.

From 1 August 2020, the NSW government increased the threshold for stamp duty exemption for first home buyers from $650,000 to $800,000 for newly built homes and from $350,000 to $400,000 for vacant land.

For more information, please visit NSW Revenue Office’s website.

Northern Territory (NT)

Northern Territory (NT) has perhaps the most attractive government schemes and grants for both first home buyers and property owners in general.

This vast federal territory’s housing programs include:

  • A $10,000 First Home Owners Grant to buy or build a new home in the Northern Territory.
  • A First Home Owner Discount of up to $23,928.60 off stamp duty on an established home up to the value of $650,000.
  • A $10,000 Home Renovation Grant for renovations.
  • A $2,000 Household Goods Grant Scheme.

There is also the Home Buyer Initiative and the HomeBuild Access programs, please refer to NT.gov.au for more details.

Queensland (QLD)

Queensland has the following grants and schemes for first home buyers:

  • A $15,000 FHOG towards buying or building your new house, unit or townhouse (valued at less than $750,000).
  • A $5,000 Regional Home Building Boost Grant in QLD given after the purchase or construction of a brand-new house, unit or townhouse valued at less than $750,000.
  • A First Home Concession wherein first home buyers pay no stamp duty for both new and existing property purchases under $550,000, a discount (concession) may still apply for a home valued over $550,000.
  • A First Home Vacant Land Concession for transfer duty when acquiring vacant land to build your first home, if you meet certain requirements. It only applies to vacant land valued under $400,000.

For more information, please visit QLD.gov.au.

South Australia (SA)

South Australia has a $15 000 one-off FHOG for purchase or construction of a new home.

Unlike other states and territories, SA has no stamp duty exemption or concessions for first home buyers.

You can use our stamp duty calculator to work the duty payable on a SA property purchase.

For more information, please visit Revenue SA’s website.

Tasmania (TAS)

First home buyers in Tasmania may be eligible for:

  • A $20,000 grant for first home buyers who are building or purchasing a new residence or a newly built residence.
  • A 50 per cent stamp duty discount on the purchase of an established home with a value of $400 000 or less.

For more information, please visit State Revenue Office of Tasmania’s website.

Victoria

First home buyers in Victoria may be eligible for:

  • A $10,000 FHOG is available for first home buyers. The home must be valued at $750,000 or less, be the first sale of the property as residential premises and the home must be less than five years old. The $20,000 regional First Home Owner Grant ended on 30 June 2021.
  • Stamp (transfer) duty exemption to purchase a new or established property in Victoria up to $600,000. A duty concession (discount) applies for properties valued between $600,000 and $750,000.

For more information, please visit State Revenue Office of Victoria’s website.

Western Australia (WA)

First home buyers in Western Australia (WA) may be eligible for:

  • A $10,000 FHOG to buy or build a newly built residential property for use as their principal place of residence.
  • Stamp duty waiver on a purchase of any home valued up to $430,000 for first home buyers. Discounted or concessional rates apply for homes valued between $430,001 and $530,000 for your principal place of residence.

For more information, please visit WA.gov.au.


Are there any disadvantages to government grants?

Government grants and schemes come with their own repercussions. The main objective of these grants is to help you own a home. However, when grants are introduced, the demand for a certain range of houses shoots up, and as a result, prices rise as well.

Having said this, getting a grant or qualifying for a scheme can aid you significantly on your purchase. On top of that, if you can qualify for a grant/scheme early, before the market has had a chance to move, the rising prices will increase your equity in your home.

How do I apply for these first home buyer government grants/schemes?

First off, you want to make sure that you’re eligible for the government scheme/grant you’re applying for. Each program has a slightly different eligibility requirement so you want to check off all the boxes prior to submitting your application.

Generally, you can apply for these government schemes and grants at the same time you apply for a home loan.

However, if you’re planning on utilising any of the aforementioned grants or schemes, please have a discussion with your bank or mortgage broker prior to submitting your application.

Most lenders will apply for the grant on your behalf once a formal home loan approval is granted, and you have signed any relevant applications/declaration.

For the stamp duty waiver, your solicitor will handle the paperwork for you on settlement day.

There can be different eligibility requirements so it’s best to consult with your mortgage broker or directly with your lender up front.

How can we help?

As mortgage brokers, we can:

  • Apply for all the grants you’re eligible for
  • Make the entire end-to-end process simpler for you
  • Help you get a competitive interest rate on your home loan
  • Make finding a property easier with suburb reports, and property reports of your choosing
  • Order a free upfront valuation
  • Help you through settlement and beyond.

Please speak with one of our specialist mortgage brokers by giving us a call on 1300 889 743 or by filling in our short assessment form to buy your first home.

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