Government Grants and Schemes for Home Buyers in Australia

The Australian government and state governments offer several grants and schemes designed to help people buy their first home or enter the property market. Knowing what is available can save you tens of thousands of dollars.

First Home Owner Grant (FHOG)

The FHOG is a national scheme funded individually by each state and territory. It provides a one-off cash grant to eligible first home buyers who are purchasing or building a new home.

Grant amounts vary by state, typically ranging from $10,000 to $30,000. Regional buyers often receive higher amounts. The key eligibility requirements are that you must be an Australian citizen or permanent resident, you must be buying or building a new home (not an established property in most states), the property must be below a set price cap, and you must live in the property for at least 6 to 12 months.

The grant is usually applied at settlement, reducing the amount you need to pay. Your conveyancer or lender can help you apply.

Home Guarantee Scheme

The Home Guarantee Scheme (previously the First Home Loan Deposit Scheme) is a federal government initiative that allows eligible buyers to purchase with a smaller deposit without paying Lenders Mortgage Insurance.

There are three streams. The First Home Guarantee allows first home buyers to purchase with as little as 5% deposit, with the government guaranteeing up to 15% of the property value. The Regional First Home Buyer Guarantee targets buyers in regional areas. The Family Home Guarantee supports eligible single parents with children, allowing them to buy with as little as 2% deposit.

Places are limited and released each financial year. Property price caps apply and vary by location. Check the National Housing Finance and Investment Corporation website for current caps and availability.

Help to Buy Scheme

The Help to Buy shared equity scheme allows eligible buyers to purchase a home with a smaller deposit and smaller mortgage, with the government contributing up to 30% of the purchase price for a new home or 40% for an existing home.

You retain full ownership and can buy out the government’s share over time or when you sell. Income caps and property price caps apply. This scheme significantly reduces the size of the mortgage you need, which means lower repayments. See our mortgage guide for how this affects your borrowing power.

State-Specific Grants

Beyond the national schemes, individual states offer additional support. These change regularly, so check your state revenue office for current details. Examples include stamp duty exemptions and concessions for first home buyers in every state, first home buyer assistance funds, shared equity schemes at the state level, and regional relocation grants.

Our stamp duty guide has a state-by-state breakdown of concessions.

Super Saver Scheme

The First Home Super Saver (FHSS) Scheme lets you save for a deposit inside your superannuation fund. You make voluntary contributions (up to $15,000 per year, $50,000 total) which are taxed at the lower super rate of 15% instead of your marginal tax rate.

When you are ready to buy, you apply to withdraw these contributions plus deemed earnings. This can save you thousands in tax compared to saving in a regular bank account. The scheme works best for people who are 2 to 3 years away from buying and have the discipline to lock away their savings.

How to Maximise Your Benefits

Many of these schemes can be combined. For example, you could use the FHSS Scheme to save your deposit tax-efficiently, apply for the Home Guarantee Scheme to avoid LMI with a 5% deposit, claim the First Home Owner Grant to reduce your purchase costs, and get stamp duty concessions in your state.

Together, these could save you $30,000 to $50,000 or more compared to buying without any government support. Use our mortgage calculator to see how the savings affect your repayments.

For a complete walkthrough, read our first home buyer guide or browse our FAQs.