State & Territory Grants Overview
Each state and territory government across Australia has its own scheme to assist first home buyers enter the property market. In addition, the Australian Government at a federal level continues to assist First Home Buyers with an updated package recently announced.
The table below provides an overview of assistance available in each state and territory:
| State/Territory | Grant Amount | Eligible Property | Property Value Cap |
| QLD | $30,000 (reducing to $15,000 after 30/6/26) | New or substantially renovated homes | $750,000 (no change from 2024) |
| NSW | $10,000 | New or substantially renovated homes | $600,000 (or $750k for land + build) (no change from 2024) |
| VIC | $10,000 | New homes | $750,000 (no change from 2024) |
| SA | $15,000 | New homes | No Cap ($650,000 in 2024) |
| WA | $10,000 | New or substantially renovated homes | Varies by location |
| TAS | $10,000 | New homes | No cap (no change) |
| NT | $50,000 | New homes | No cap (no change) |
| ACT | No FHOG scheme |
State-by-State Highlights
Queensland
- FHOG doubled to $30,000 (until 30 June 2026).
- Expanded Home Guarantee Scheme with higher price caps (up to $1M in Brisbane).
- Impact: Improves affordability for new builds, especially in outer suburbs and regional areas. However, risks pushing up prices in already hot markets like Brisbane and Gold Coast.
Northern Territory
- FHOG remains at $50,000, with no property price cap.
- Impact: Strong affordability support, especially in Darwin and remote areas. But limited housing supply may constrain effectiveness.
New South Wales & Victoria
- FHOG remains at $10,000, while property prices are among the highest nationally.
- Impact: Offers limited affordability improvements. Grants may simply accelerate purchases for those already close to buying, rather than enabling broader access.
General Criticisms of FHOGs
- FHOGs often increase demand without addressing supply, leading to price inflation.
- Research shows grants tend to benefit those already planning to buy, rather than enabling new entrants.
- Over $20 billion has been spent on FHOGs in the past decade, with little measurable improvement in long-term affordability.
Suburb Affordability Snapshot
Brisbane ($750,000) - As of 2025, there are around 10 suburbs within 20 kms of Brisbane CBD with a median house price of $750,000 or less, making them eligible for the Queensland First Home Owner Grant (FHOG) for new homes.
Sydney ($750,000) - According to PropTrack data, there are no suburbs in Greater Sydney with a median house price at or below $750,000 and only a few around the Central Coast. However, there are around 57 suburbs in Greater Sydney with a median unit value under $750,000, which are mostly located in the outer west and south west.
The Central Coast has a few suburbs around the $750,000 threshold for houses, such as West Gosford, which had a median price of $752,000, just above the cutoff.
Melbourne ($600,000/$750,000) - As of late 2024, there are approximately 16 suburbs in Greater Melbourne with a median house price at or below $600,000, and a larger but unspecified number with prices under $750,000.
Federal Government First Home Buyer Scheme
The Australian Government has recently improved the first home buyer scheme at a national level with initiatives to get first home buyers into the market sooner and with a smaller deposit. The key programs are:
First Home Guarantee (FHBG)
- Buy with as little as 5% deposit.
- Government guarantees up to 15% of the property value, allowing buyers to avoid Lenders Mortgage Insurance (LMI).
- From 1 October 2025, the scheme:
- Has no income caps.
- Offers unlimited places.
- Includes higher property price caps (e.g., $1.5M in Sydney, $1M in Brisbane).
- Replaces the Regional First Home Buyer Guarantee.
First Home Super Saver Scheme (FHSS)
- Save for a deposit using your superannuation account.
- Withdraw up to $50,000 (individual) or $100,000 (couples) in voluntary contributions for a home deposit.
- Offers tax advantages while saving.
Help to Buy Scheme
A shared equity scheme where the government contributes:
- Up to 40% for new homes.
- Up to 30% for existing homes.
- Only need a 2% deposit.
- You own the home, but the government has an equity share.
- Income cap of $100,000 (singles) and $160,000 (couples).
- Must reside in the dwelling (not for an investment).
- Property price caps are $1.3M (Sydney), $1M (Brisbane & Canberra), $950,000 (Melbourne), $900,000 (Adelaide), $850,000 (Perth), $700,000 (Hobart) and $600,000 (Darwin).
The assistance available to first home buyers at both a state and federal level is now well established, although prices for houses in every state capital continue to climb which puts a majority of first homes buyers at a distinct disadvantage, although units are generally more affordable.
Economists widely agree that the most effective way to improve affordability is to increase housing supply. Achieving this will require coordinated action across all levels of government, rather than policies that stimulate demand alone.