If you're a first home buyer looking to purchase in Victoria, it's worth checking whether you're eligible for the state's First Home Owner Grant (FHOG).

Eligible first home buyers in Victoria can apply for the First Home Owner Grant if they are buying or building a new home.

The FHOG is a support program administered by state governments that aims to provide first-time buyers with a one-off payment they can use towards the purchase of their home.

In this article we'll go through how Victoria's First Home Owner Grant (FHOG) works, how much you might be able to get, how to apply for the grant, possible stamp duty exemptions and discounts, and other schemes first home buyers may be able to access.

How much is the first home owners grant VIC?

Victoria's FHOG provides eligible first home buyers with a cash grant of up to $10,000 which can be put towards the purchase of new homes only.

What are the eligibility requirements to qualify for the grant?

To qualify for the scheme, you need to ensure you or your partner have not received any First Home Owner Grant in any other states or territories.

You must also have not owned a home or residential property in Australia, either jointly or separately, before 1 July 2000 or occupied a home that either of you owned or part-owned on or after 1 July 2000.

You may still qualify for the grant if you owned a residential property on or after 1 July 2000 but didn't use it as a principal place of residence.

When applying, at least one applicant (you or your partner) must:

  • Occupy the home as the principal place of residence (PPR) for at least 12 months, commencing within 12 months of settlement or completion of construction

  • Be aged 18 or over (although this is discretionary)

  • Be an Australian citizen or a permanent resident

What property types are eligible for the VIC grant?

The grant is only available for new homes. These can be houses, townhouses, apartments, or units.

To be considered new, the property must not have been previously sold as a place of residence, occupied as a home, or used for the provision of short-term accommodation. In short, the first sale of the property must go to the person who is applying for the grant - in this case, you.

Similar to other state governments, Victoria also imposes a price cap for the transactions eligible for the grant. If you're applying for the Victorian FHOG, the contract price of the home should not exceed $750,000. The same price cap applies for the construction of a new home.

How to apply for First Home Owners Grant in Victoria?

There are two ways you can apply for the grant: Through your lender or directly to Victoria's State Revenue Office (SRO).

Applying through your lender

For the majority of applicants, their submissions are taken care of by their lenders. This is ideal if you need the grant for settlement or your first drawdown or progress payment on a construction loan.

When applying through your lender, you simply need to follow their instructions and provide the needed documents and information from your end.

Applying directly to Victoria's SRO

If your lender is not included in the list of approved agents, you'll need to apply directly to the revenue office. You can do this online and will need to supply copies of your supporting documents.

These will include current identity documents and any additional supporting evidence required, as outlined in the First Home Owner Grant lodgement guide.

Supporting documents include:

  • Exchanged contract of sale, dated and signed by all parties

  • The building permit and/or a copy of the domestic building insurance certificate from the contract of sale.

  • Certificate of occupancy

  • A written and signed statement from vendor(s) confirming the property (and stating the address) has never been lived in and it is the first sale of the property as residential premises.

  • Title search showing the applicant as the registered proprietor(s)

  • Evidence of building costs incurred by the applicant for construction of the home (applicable to owner builders)

Take note that you need to complete your transaction before you can lodge your application.

When will you receive the grant?

The date the grant is paid will depend on your transaction type and how your application is lodged.

Transaction type

Applied through lender

Applied directly to SRO

Purchase of a new or off-the-plan home

The grant will be paid at the date of the settlement.

Your application will only be considered after settlement.

Your application will be reviewed within 10 working days. Once approved, the grant will be paid into your nominated electronic funds transfer (EFT) account.

Contract to build

The grant will be paid at the date of the first progressive payment.

Your application will be reviewed once a Certificate of Occupancy is issued.

As with the previous transaction, your application will be reviewed within 10 working days. You will receive the grant through your nominated EFT account.

Owner builder

The grant will be paid on the receipt of the Certificate of Occupancy.

Your application will be considered once a Certificate of Occupancy is issued.

Your submission will be reviewed within 10 working days. You will receive the grant through your nominated EFT account.

Terms contract

Applications for purchases under terms of contract must be made directly to the SRO.

Your application will only be considered when you have provided evidence of possession.

As with other transaction types, your application will be reviewed within 10 days. After which, you'll be able to receive the grant through your nominated EFT account.

Can first home buyers get stamp duty discounts in VIC?

Stamp duty is an often-forgotten cost of purchasing a home. Fortunately, there are stamp duty concessions available for first home buyers in Victoria.

VIC stamp duty concessions for first home buyers

If you bought your first home on or after 1 July 2017, you may be eligible for an exemption or concession from stamp duty if:

  • Your home has a dutiable value of $600,000 or lessFirst home buyers spending less than $600,000 may receive a full duty exemption

  • Your home has a dutiable value of $600,001 to $750,000First home buyers spending between $600,000 and $750,000 may receive a stamp duty discount. The concession applies on a sliding scale - the closer the dutiable value is to $600,001, the greater the concession and the less stamp duty you'll likely pay.

The stamp duty exemption or concession is only available once. If you or your partner has received it previously, you cannot receive it again.

Unlike the First Home Owner Grant, stamp duty exemptions or concessions can apply whether you buy a new or established home. The exemption/concession is also available for vacant land.

To receive it, you must live in the property as your principal place of residence for a continuous period of 12 months, commencing within 12 months of settlement, to maintain eligibility for exemption or concession.

Off-the-plan concessions

You may receive a duty concession as a first-home owner buying an off-the-plan land and building package or a refurbished lot.

The duty is paid only on the improved value of the land, as the concession deducts the costs of the current concession or refurbishment from the contract price of the home.

Temporary off-the-plan concession

As of 21 October 2024, the Victorian has offered an additional temporary off-the-plan transfer duty concession for purchases of dwellings in strata subdivisions.

See also: Stamp duty slashed on Victorian off-the-plan unit purchases

The off-the-plan duty concession is available for purchases of units, apartments, or townhouses within a strata subdivision where the contract was entered into from 21 October 2024 for a period of 12 months.

You can visit the Victorian State Revenue Office website to learn more about support programs available for first-home buyers.

What other VIC schemes and grants can first home buyers use?

Victorian first home buyers can also combine the benefits with other government schemes to potentially provide thousands of dollars in relief. Here are some of the other programs available:

Home Guarantee Scheme

The Home Guarantee Scheme is a federal government initiative administered by Housing Australia and works in conjunction with more than 30 participating lenders.

Essentially, it sees the federal government act as guarantor for a portion of a home loan taken out by eligible buyers who don't have the 20% deposit typically required by home lenders. But it is not a cash payment or part of a deposit. It means if you default on your home loan, the government's guarantee will minimise your lender's losses, reducing the risk you might represent to your lender.

The guarantees available include:

  • First Home GuaranteeThe First Home Guarantee allows eligible first home buyers to purchase a home with a deposit as small as 5% and avoid lenders mortgage insurance (LMI). In practical terms, it allows first home buyers to borrow up to 95% of a home's value with the federal government providing the lender with a guarantee of up to 15% of the sale amount.

  • Regional First Home Buyer GuaranteeThis scheme works in the same way as the First Home Guarantee but applies specifically to first home buyers in regional areas of Australia. It also offers a guarantee to eligible first home buyers with a deposit as low as 5%.

  • Family Home GuaranteeThe Family Home Guarantee allows up to 10,000 eligible single parents and guardians over four years (2,500 per year) to qualify for a home loan with as little as a 2% deposit without having to pay LMI. The government will guarantee up to 18%. The guarantee is available to previous owner-occupiers as well as first home buyers. It has a maximum annual income cap of $125,000 and eligible borrowers must make principal & interest (P&I) repayments on a mortgage with a term of 30 years or less.

The First Home Super Saver Scheme

The First Home Super Saver Scheme (FHSSS) allows first home buyers to use their superannuation fund to help them save for a deposit.

Under the scheme, a first home saver can salary sacrifice up to $15,000 of their wages per year into their super fund (taking advantage of a discounted tax rate of 15%) where the money will earn a deemed rate of return.

A maximum of $50,000 can later be withdrawn from a person's super fund to put towards a home deposit under the scheme.

Help to Buy Scheme

Help to Buy is a planned scheme to help low- to middle-income households to buy their own properties, with the federal government effectively becoming a part-owner in their homes.

The proposed scheme will see the government contribute up to 40% of the purchase price of a new home or up to 30% of the value of an existing home.

No interest will be charged on the government's contribution. However, if the property is sold, the homeowner will need to hand over a portion of the proceeds equivalent to the government's stake at the time of sale, regardless of the sale price. Alternatively, the homeowner can choose to buy out the government's stake over time.

To be eligible for the scheme, homebuyers will have to meet income and property cap limits and will not be permitted to access any other Housing Australia assistance. However, they can combine state-based first home owner grants.

Legislation to set the scheme up passed through federal parliament in November 2024 with the program expected to be up and running in 2025. Although, as of June 2025, there's no indication of when the first applications will be taken.

Other First Home Owner Grants

See also: NT to roll out home builder grants of up to $50k

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