Victorian First Home Buyers

Victorian First Home Buyers have access to a suite of both state & federal government grants and schemes to help them break into the property market. Below are the key schemes available for Victorian First Home Buyers.

1. First Home Owner Grant (FHOG) – Victoria

A one‑off grant of $10,000 for eligible buyers purchasing or building a new home up to $750,000. To be eligible, the home must not have been previously sold or occupied.

Eligibility criteria:

• For buying/building a new home (never sold/occupied) valued ≤ $750,000.
• Must be at least 18 years old at settlement/construction completion.
• At least one applicant must be an AUS citizen or permanent resident.
• Must live in the home for at least 12 months within 12 months.

2. Stamp Duty Exemptions & Concessions (Land Transfer Duty)

Victorian first home buyers may qualify for reduced or waived stamp duty, saving thousands of dollars when buying their first home.

Eligibility criteria:

• Must be first home buyer(s) as defined by VIC rules.
• Must be at least 18 years old at settlement
• At least one applicant must be an AUS citizen or permanent resident.
• Must live in the home for at least 12 months within 12 months.
• Property value caps:
• Full exemption: ≤ $600,000
• Concession (sliding scale): between $600,001 and $750,000
• Off‑the‑plan purchases benefit from special valuation rules lowering dutiable value.

3. Victorian Homebuyer Fund (Shared Equity Scheme)

This shared equity initiative enables eligible first home buyers to enter the property market with a lower deposit and no Lenders Mortgage Insurance (LMI).

Eligibility criteria:

• Must be Australian/NZ citizen or permanent resident, age 18+.
• Income caps: individual ≤ $135,155; couples or single parents ≤ $216,245 per annum.
• First home buyers only.
• Property price caps: ≤ $950,000 in Melbourne/Geelong; ≤ $700,000 in regional VIC.
• Minimum deposit: 5% (or 3.5% for eligible Aboriginal or Torres Strait Islander applicants).
• Government contributes up to 25% (35% for ATSI) in return for equity share.
• No interest charged, government shares proportionally in capital gains/losses.
• Participants must eventually buy back the government share via refinancing, savings, or upon sale.

Federal Schemes First Home Buyers May Also Be Eligible For

• First Home Guarantee (FHBG)

Allows buyers to purchase a new or existing owner‑occupied home with as little as 5% deposit, without paying LMI.

Criteria:

• Australian citizen or permanent resident, age 18+.
• Income caps: individual ≤ $125,000; joint ≤ $200,000 (as per ATO Notice of Assessment).
• First home buyer or someone who hasn’t owned property in past 10 years.
• Owner‑occupier only (investment properties not eligible).
• Property price caps in VIC currently up to $800,000 in metro areas, lower in regional areas.

• Regional First Home Buyer Guarantee

For buyers purchasing in regional areas and offers the same benefits as FHBG but with 10,000 places/year set aside.

Criteria:

• Same as FHBG plus:
• Applicant (or at least one applicant) must have lived in the designated regional or adjacent area for 12 months prior, or relocated for work-related reasons.
• Property must be in a qualifying regional location as defined by Housing Australia’s Regional Checker.

• Family Home Guarantee

Tailored to eligible single parents or legal guardians, allowing purchase with as little as 2% deposit and no LMI.

Criteria:

• Single parent/legal guardian with at least one dependent child.
• Must not own property at time of settlement.
• Citizenship/permanent residency and age 18+.
• Income caps same as FHBG: ≤ $125,000 individually.
• Property price caps similar to FHBG.
• Owner‑occupier requirement applies.

• First Home Super Saver Scheme (FHSSS)

Enables prospective buyers to make voluntary concessional superannuation contributions, withdraw up to $50,000 (plus earnings) to use as a home deposit.

Criteria:

• Must not yet have purchased a property.
• Voluntary contributions made into super account; must meet thresholds.
• Intent to occupy as principal residence.
• Must comply with ATO application rules for drawdown and use.

Want to understand more about what grants you might be eligible for? It’s worth reaching out to a Finance Broker who can help with obligation-free advice on what’s right for you, at no cost to you.