What grants and schemes are available to first home buyers?

First home buyers have several Federal and State Government schemes that they can access to assist in the purchase of their first home. It is worth noting that a first homeowner may be eligible for and utilise one or all schemes.

Federal Government Initiatives

The First Home Loan Deposit Scheme (FHLDS)

Usually, a deposit or equity of 20% is required when purchasing property to avoid the payment by a buyer of Lenders Mortgage Insurance (LMI). LMI is insurance that protects the lender against any losses should a borrower fail to meet their home loan repayment requirements. 

FHLDS allows eligible first home buyers to purchase residential property with only a 5% deposit without the need for LMI. 

The Government provides a guarantee for up to 15% of the value of the property for first home buyers so as to avoid the need to obtain and pay for LMI.

FHLDS is limited to10,000 participants per year, with a further 4,651 grants being allocated from 31 January 2022, and is available through the National Housing Finance and Investment Corporation via one of the more than 30 approved participating lenders. 

NHFIC has a website which contains the details of all approved participating lenders.


First Home Super Saver Scheme (FHSSS)

FHSSS allows first home buyers to make additional voluntary payments into their Superannuation Fund to save for their first home.

If you are over 18 and an eligible first homeowner, you can access voluntary contributions made since 1 July 2017, along with their associated earnings, to assist in the purchase of a first home.

Up to $15,000 of voluntary contributions in any one year, up to a maximum of $30,000 across all years can be contributed and then withdrawn for the purchase of an eligible property. This applies to each individual so an eligible couple would be able to contribute and access their Superannuation Funds for a combined sum of $60,000. The Federal Government has proposed to increase this cap to $50,000 per person from 1 July 2022.


NSW State Government Initiatives

First Home Buyer Assistance Scheme (FHBAS)

FHBAS allows for exemption from stamp duty for eligible persons for the purchase of:

  • New and existing properties up to $650,000and for a concession up to $800,000.
  • vacant land up to $350,000and for a concession up to $450,000.

A link to the FHBAS calculator to calculate stamp duty payable is below:


First Homeowner Grant (FHOG)

FHOG is available for the purchase of newly built or substantially renovated homes by eligible purchasers of:

  • Newly built house, townhouse, apartment, or unit up to $600,000.
  • Vacant land, to which is added the building Contract total up to $750,000.