Update note: Policy settings, rates and lender offers can change. Treat this article as general information and confirm current details before making a finance decision.
If you're a first home buyer in Victoria, there are several government grants and concessions available that can significantly reduce the cost of purchasing your first property. Here's a general guide to what's on offer in 2026. Eligibility rules and amounts change over time, so always verify current details with the relevant authority before relying on them.
First Home Owner Grant (FHOG)
The Victorian First Home Owner Grant provides eligible first home buyers with a $10,000 grant towards the purchase or construction of a new home.
Eligibility Criteria:
- You must be at least 18 years old
- You (and your spouse/partner) must not have owned property in Australia before
- The property must be a new home (unregistered house and land contract or newly built home)
- The property value must not exceed $600,000
- You must move into the property within 12 months of settlement and live there for at least 6 continuous months
Stamp Duty Concessions & Exemptions
The State Revenue Office of Victoria offers stamp duty relief for first home buyers based on property value:
Full Exemption: Properties up to $300,000
If you're purchasing a new home valued at $300,000 or less, you'll pay no stamp duty at all. This can save you thousands.
Sliding Scale: Properties between $300,001 and $600,000
If your property falls in this range, you'll receive a sliding scale concession that reduces your stamp duty progressively. For example, a $500,000 new home saves approximately $14,000 in stamp duty.
Note: Stamp duty concessions for existing homes (resale) are available up to $600,000 with a sliding scale concession. Full exemption applies up to $295,000.
First Home Guarantee Scheme
The Commonwealth Government's First Home Guarantee scheme allows eligible first home buyers to purchase with just a 5% deposit without paying Lender's Mortgage Insurance (LMI). The government guarantees up to 15% of the property value on your behalf.
Key Benefits:
- Only 5% deposit required (instead of 20%)
- No LMI — saving thousands in upfront costs
- Available for both new homes and existing properties
- Income caps apply: $125,000 for singles, $200,000 for couples (2026)
Other State-Based Incentives
Victoria also offers the Home Start Grant ($10,000) for eligible first home buyers purchasing or building a new home. Combined with FHOG and stamp duty concessions, eligible buyers may receive up to $20,000 in grants plus stamp duty savings. Check current availability and criteria with the relevant authority.
Tips for First Home Buyers
- Get pre-approved first — know your budget before you start looking
- Consider new builds — they qualify for FHOG and stamp duty exemptions
- Look at growth corridors — outer Melbourne suburbs offer better affordability with good infrastructure investment
- Work with a broker — we can help you check which grants and concessions you may be eligible for and structure your application appropriately
Planning to buy your first home? Our team works with first home buyers every day and can help you understand the grants, concessions and loan options that may apply to you.