Victoria and Tasmania first home buyer government grants and schemes

Buying your first home in Victoria or Tasmania?

Both states offer government grants, stamp duty discounts, and regional incentives designed to make homeownership more affordable!

Purchasing your first home can be a complex journey, especially with the various grants and schemes available. Navigating eligibility criteria, understanding the application processes, and aligning these benefits with your financial goals can be overwhelming.

At UFinancial, we help first-home buyers access the right financial support and home loan solutions to get into the market sooner. Our mortgage broker services guide you through identifying the grants you’re eligible for, securing the right loan structure, and maximising every financial advantage. With access to over 50 lenders, we make the homeownership process smoother and more informed.

Let us help turn your dreams into reality, while making the most of the opportunities available to you in both Victoria and Tasmania.

Victoria 

First Home Owner Grant (FHOG)

The Victorian Government provides a one-time payment of $10,000 to eligible first home buyers who are purchasing or building a new home valued up to $750,000. The property must be brand new and never previously sold or occupied. This program is administered by the State Revenue Office of Victoria.

Eligibility Criteria:

• You must be an Australian citizen or permanent resident.
• Applicants must be at least 18 years of age.
• Neither you nor your spouse/partner can have previously owned residential property in Australia. However, if you or your spouse/partner purchased a property on or after 1 July 2000 but never lived in it, you may still be eligible for the FHOG.
• You must occupy the home as your principal place of residence for at least 12 months within the first year after settlement or construction completion.

At UFinancial, we help guide first home buyers through the application process and eligibility criteria to ensure you make the most of available grants and support.

Victorian Homebuyer Fund

The Victorian Homebuyer Fund is a shared equity scheme that allows the Victorian Government to contribute up to 25% of the purchase price in exchange for an equivalent share in the property. This initiative enables buyers to enter the property market with a deposit as low as 5%. While this offers an opportunity to enter the market sooner, there are important factors to consider when partnering with the government. The federal government has also introduced a “Help-to-Buy” shared equity scheme for first home buyers, and we encourage you to read our article Help-to-Buy Scheme Problems: What First Home Buyers Need to Know Before Signing Up to fully understand your options.

Eligibility Criteria:

• Australian or New Zealand citizens, or permanent Australian residents
• At least 18 years of age at settlement
• Income limits: $135,155 or less per annum for individuals, or $216,245 or less for joint applicants or single parents
• Property price caps apply, for example, up to $950,000 in Melbourne and Geelong

Tasmania 

First Home Owner Grant (FHOG)

The Tasmanian Government offers a one-time payment of $20,000 to eligible first home buyers purchasing or building a new home valued up to $750,000. This grant is for properties that have not been previously occupied or sold, ensuring the property is essentially brand new. The grant is administered by the State Revenue Office of Tasmania.

Eligibility Criteria:

• You must be an Australian citizen or permanent resident.
• Applicants must be at least 18 years old.
• Neither you nor your spouse/partner can have previously owned residential property in Australia. However, you may still be eligible if you or your spouse/partner purchased property on or after 1 July 2000 but have not lived there as your principal place of residence.
• You must occupy the home as your principal place of residence for at least 12 months within the first year after settlement or construction completion.

Tasmania’s HomeBuilder Grant

The HomeBuilder Grant provides $25,000 to eligible applicants for the construction of a new home or substantial renovation of an existing home. This initiative is part of the Australian Government’s efforts to stimulate the economy and assist first home buyers and builders in Tasmania.

Eligibility Criteria:

• You must be an Australian citizen or permanent resident.
• Applicants must be at least 18 years old.
• The property must be for owner-occupation.
• The property value must not exceed $750,000 for new builds or renovations.
• Income limits: Single applicants must earn no more than $125,000 per year, while joint applicants must earn no more than $200,000 per year.

At UFinancial, we can help guide you through the various Tasmanian home buyer schemes, ensuring you are well-informed and supported throughout the process of applying for these grants. Our team is here to ensure that you maximise your potential benefits and get into the market as quickly as possible. 

Regional first-home buyer support

Both Victoria and Tasmania offer additional incentives for regional home buyers, making homeownership in rural and regional areas more accessible and affordable.

Victoria’s Regional Home Buyer Support

If you’re looking to buy or build in regional Victoria, you may qualify for extra incentives, including:

• Increased first home owner grant: $20,000 for new homes in regional Victoria (double the metro amount).
• Stamp duty savings: Regional properties up to $600,000 qualify for full stamp duty exemption, saving buyers thousands.

Regional first home buyer guarantee (RFHBG):

• Allows buyers to secure a home with just a 5% deposit
• Avoids lenders mortgage insurance (LMI)
• Available for homes up to $650,000 in regional Victoria
• Must be a first-home buyer and meet income criteria ($125,000 for singles, $200,000 for couples).

The RFHBG is separate from the first home guarantee (FHBG), meaning more spots are available for regional buyers.

Tasmania’s Regional Home Buyer Support

Tasmania offers specific support for buyers in regional and rural areas, including:

• Higher FHOG availability: Many regional developments qualify for the $30,000 first home owner grant.
• Lower property prices: Regional housing prices are significantly lower than Hobart, making homeownership more achievable.
• Additional stamp duty concessions: Some rural councils offer further reductions on stamp duty for first-home buyers.
• Government-backed regional home loans: Some regional lenders offer low-deposit home loans backed by the state government to support first-home buyers.

With Tasmania’s affordable regional market, these incentives provide a great opportunity for first-home buyers to enter the property market sooner.

Stamp duty exemptions and concessions 

Read here for Stamp Duty exemptions and concessions for Victoria and Tasmania

UFinancial’s full support for first home buyers

At UFinancial, we understand that buying your first home is an exciting, yet complex journey. Our mortgage brokers will guide you every step of the way, ensuring you make the most of the government grants and schemes available. Here’s how we help:

• Expert guidance: From determining your eligibility to handling all necessary documentation, we make sure you don’t miss any crucial steps.
• Access to multiple lenders: We work with over 40 lenders to find the best loan options for your needs, ensuring you get the best deal possible.
• No-cost services for first home buyers: Our services are free for first home buyers, as we’re compensated by the lender you choose. This means you get expert advice at no extra cost.
• Comprehensive buyer support: We offer personalised assistance with property searches, property evaluations, and advice throughout the buying process, ensuring you feel supported every step of the way.

Ready to get started?

If you’re ready to take the next step toward homeownership, or if you need help navigating the First Home Buyer Grants and Schemes, contact a UFinancial team member today to find out how we can assist you in securing the right home loan for your first home purchase.