Question 1

What is the First Home Guarantee in Australia?

Accepted Answer

The First Home Guarantee (formerly First Home Loan Deposit Scheme) is an Australian Government initiative allowing eligible first home buyers to purchase with as little as a 5% deposit without paying Lenders Mortgage Insurance (LMI).  The government guarantees up to 15% of the loan, bringing your effective deposit to 20% in the lender's eyes. Up to 35,000 places are available each financial year.

Question 2

What is the First Home Owner Grant (FHOG)?

Accepted Answer

The First Home Owner Grant is a state and territory-funded cash grant for eligible first home buyers purchasing or building a new home:  • NSW: $10,000 (new homes up to $600,000) • VIC: $10,000 (new homes in regional areas) • QLD: $30,000 (new homes up to $750,000) • WA: $10,000 (new homes up to $750,000) • SA: $15,000 (new homes) • TAS: $30,000 (new homes) • ACT: Grant replaced by stamp duty concessions • NT: $10,000  Eligibility and amounts vary by state. Speak with our brokers for current details.

Question 3

Who qualifies for the First Home Guarantee?

Accepted Answer

To be eligible you must:  • Be an Australian citizen or permanent resident • Be a first home buyer (never previously owned residential property) • Earn under $125,000 p.a. as an individual, or $200,000 p.a. combined as a couple • Purchase a property under the scheme's regional price cap (e.g. $900,000 in Sydney/Melbourne, $800,000 in Brisbane, $600,000 in regional areas) • Intend to live in the property as your principal place of residence

Question 4

Do I still need to pay stamp duty as a first home buyer?

Accepted Answer

Many states offer full or partial stamp duty exemptions for first home buyers:  • NSW: Full exemption on new and existing homes up to $800,000; concessions up to $1,000,000 • VIC: Full exemption on homes up to $600,000; concessions up to $750,000 • QLD: First home concession available on homes up to $700,000 • WA: Full exemption on homes up to $430,000; concessions to $530,000 • SA, ACT, TAS, NT: Various concessions apply  Our brokers can clarify your state's current thresholds.

Question 5

Can I use the First Home Super Saver (FHSS) Scheme?

Accepted Answer

Yes. The First Home Super Saver Scheme allows you to make voluntary contributions into your superannuation fund and later withdraw up to $50,000 (per person) to use as a deposit for your first home.  You can contribute up to $15,000 per financial year under this scheme. The tax benefits make this an effective way to save for a deposit faster than a standard savings account.

Question 6

How much deposit do I actually need as a first home buyer?

Accepted Answer

As a first home buyer in Australia, you may be able to purchase with:  • 5% deposit, via the First Home Guarantee (no LMI) • 5% deposit, via a guarantor (family pledge, no LMI) • 5–10% deposit, with LMI added to the loan • 20% deposit, no LMI required by any lender  Additionally, you'll need to account for costs such as conveyancing fees (typically $1,500–$3,000), building and pest inspection ($400–$800), and any applicable stamp duty.

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Keep reading about First Home Buyer

First Home Buyer's Complete Guide to Australian Property 2026

First Home Buyer Grants and Incentives in Every Australian State (2026 Complete Guide)

The First Home Guarantee Explained: Buy with 5% Deposit and No LMI

First Home Super Saver Scheme (FHSSS): How to Use Your Super to Buy a Home in Australia

How Much Deposit Do You Actually Need to Buy in Australia?

First Home Buyer Guide