First Home Buyer Grants and Stamp Duty Concessions in Victoria: 2026 Guide

By Andrew Paterson

First home buyer grants and stamp duty concessions in Victoria can take tens of thousands of dollars off what you need at settlement.

The catch is that the rules come from two levels of government, with different value caps and eligibility tests. This guide sets them side by side with worked numbers.

General information only. Not financial, credit, tax or legal advice. Confirm your own figures before you sign anything.

The main help available in Victoria

Most first home buyers in Victoria can draw on up to three benefits. The State Revenue Office (SRO) runs two of them and the federal government runs the third.

• First Home Owner Grant (FHOG) – a $10,000 payment for eligible new homes valued up to $750,000.
• First home buyer duty exemption or concession – no stamp duty up to $600,000 and reduced duty up to $750,000, on new or established homes.
• 5% Deposit Scheme – buy with a 5% deposit and no lenders mortgage insurance (LMI). It has already helped more than 300,000 Australians into a first home.

These can be combined on one purchase if you meet the rules for each. A fourth federal option, Help to Buy, is covered further down.

Grants that no longer exist

A $20,000 First Home Owner Grant for new homes in regional Victoria ran for contracts signed from 1 July 2017 to 30 June 2021. It has not been reinstated.

Today the grant is $10,000 wherever you buy in Victoria. If a builder’s brochure still quotes $20,000, it is out of date.

The Victorian Homebuyer Fund, a state shared equity scheme, has also closed to new participants. Existing participants keep their arrangements.

Is Geelong regional for these schemes?

It depends on the scheme, which is why Geelong buyers often get mixed messages.

• State grant and duty rules: there is no regional distinction. The same $10,000 grant and duty thresholds apply across Victoria.
• 5% Deposit Scheme: Geelong is the only Victorian regional centre on the higher $950,000 price cap, the same as Melbourne.

Most of the rest of regional Victoria, including Ballarat and Bendigo, sits under the $650,000 cap. Caps apply by postcode, so check yours on the official price cap page.

The caps side by side

These caps are set by different bodies for different purposes, so it pays to keep them separate.

Benefit	Run by	Value cap
First Home Owner Grant ($10,000)	SRO Victoria	$750,000 (new homes only)
Stamp duty full exemption	SRO Victoria	$600,000
Stamp duty concession (sliding)	SRO Victoria	$600,001 to $750,000
5% Deposit Scheme	Federal government (Housing Australia)	$950,000 in Melbourne and Geelong, $650,000 elsewhere in Victoria

A $700,000 purchase in Geelong, for example, fits comfortably under the deposit scheme cap. It still misses the full duty exemption and only gets the partial concession.

The First Home Owner Grant in brief

The grant is $10,000 and only applies to new homes. That means a home never previously sold, lived in or leased, including a substantially renovated home or a knock-down rebuild.

• The value cap is $750,000. For a build, that covers the land and the construction contract together.
• You and your spouse or partner must not have received the grant before or owned a home in Australia before 1 July 2000.
• Neither of you can have lived for six months or more in a home you owned since then.

An established home does not qualify, however old or new it looks. Our First Home Owner Grant Victoria guide covers eligibility and applying in detail.

Stamp duty: usually the bigger saving

For many buyers the duty exemption is worth more than the grant, and it applies to established homes too.

• Up to $600,000: no duty.
• $600,001 to $750,000: a concession that shrinks as the value rises.
• Above $750,000: general duty rates with no first home buyer reduction.

At $600,000, general duty would be $31,070, so the exemption saves the full amount. At $700,000, duty falls from $37,070 to about $24,713 under the concession, according to the SRO calculator.

These thresholds have applied to contracts signed since 1 July 2017.

Buying land and building separately

If you buy vacant land on one contract and sign a separate building contract, duty is assessed on the land only.

That means you can pay no duty on land under $600,000, even when land and build together cost more. You would still need to meet the FHOG cap of $750,000 for the combined total.

For vacant land, you must move in by the earlier of 12 months after the occupancy certificate or 36 months after settlement. A well-planned new build keeps that timeline realistic.

Off-the-plan duty concessions

Buying off the plan can shrink the value that duty is charged on. Construction costs incurred after you sign the contract are deducted from the price.

• Ongoing concession: for first home buyers and owner-occupiers. First home buyers can use it when the reduced value is $750,000 or less, alongside the first home buyer exemption or concession.
• Temporary concession: for apartments, units and townhouses in a strata subdivision with common property. It applies to contracts signed from 21 October 2024 and before 21 April 2027, with no price cap.

The FHOG still looks at the full contract price, including construction. Your vendor provides the reduced dutiable value before settlement, so ask your conveyancer to check it.

The 5% Deposit Scheme

The scheme widened on 1 October 2025. Income caps and annual place limits were removed.

• You can buy with a 5% deposit, or 2% if you are an eligible single parent.
• The government guarantees part of the loan, so the lender does not charge LMI.
• Both the price and the lender’s valuation must sit under the cap for your postcode.

LMI on a 95% loan can easily reach five figures. It helps to understand how lenders mortgage insurance works to see what the guarantee replaces.

Three worked examples

These are illustrative figures for a first home buyer who meets every rule. They use a Geelong address for the $950,000 federal cap and ignore legal fees and other costs.

A $650,000 new house-and-land package

• Grant: $10,000, as the combined price is under $750,000.
• Duty on a single contract for a completed home: about $11,357 after the concession, instead of $34,070.
• Duty on separate land and build contracts: nil if the land costs under $600,000, say $300,000.
• Deposit: $32,500 at 5% with no LMI, instead of $130,000 for 20%.

The way the contracts are structured can change the duty bill by thousands. Check it before you sign. If you are still saving, these tips for saving a deposit faster may help.

A $700,000 established home

• Grant: nil, because the home is not new.
• Duty: about $24,713 after the concession, instead of $37,070.
• Deposit: $35,000 at 5% with no LMI.

The duty concession and the deposit scheme still do plenty of work here without the grant.

A $580,000 new townhouse

• Grant: $10,000.
• Duty: nil, saving $29,870.
• Deposit: $29,000 at 5% with no LMI.

A new home under $600,000 is where all three benefits apply in full.

Help to Buy

This federal shared equity scheme opened for applications on 5 December 2025.

• The government can take up to a 40% share of a new home or 30% of an existing home.
• You need a deposit of at least 2%, and no LMI applies.
• Income caps are $103,000 for individuals and $165,000 for couples and single parents.
• Victorian price caps are $950,000 for Melbourne and regional centres and $650,000 elsewhere.

You can still claim state grants and duty concessions. You cannot combine it with the 5% Deposit Scheme or state shared equity schemes.

A smaller loan comes at the cost of sharing future growth with the government. How well that suits you depends on your income outlook and how long you plan to hold the home.

Where buyers lose the benefit

1. Buying established and expecting the grant. Only new homes qualify for the FHOG.
2. A partner’s past ownership. Your spouse or partner’s history counts for the grant and duty exemption, even if they are not on the title. The state tests look at property in Australia, so check how overseas property affects the federal scheme separately.
3. Missing the residence rules. For the state benefits, move in within 12 months of settlement or completion and stay for 12 continuous months. The 5% Deposit Scheme expects you to move in within six months of settlement. Our guide to scheme timelines and deadlines sets out how these dates fit together.
4. Build costs creeping over a cap. Variations can push a house-and-land package past the $750,000 grant cap or the deposit scheme cap.
5. A low valuation. A lender’s valuation below the contract price changes your deposit maths. Read about what happens when the valuation doesn’t match the purchase price.

If you don’t meet a residence requirement, you must tell the SRO. You may have to repay the grant or duty saving, plus penalties and interest.

Where a broker fits in

The schemes are the easy part. The harder part is matching them to your borrowing capacity, your deposit and your timeline.

We can model your numbers, check which lenders offer the federal schemes and flag contract structures that affect duty and the grant. It is also worth budgeting for the ongoing costs of owning a home.

Have a chat with us before you make an offer or sign a building contract.

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Figures were current in September 2026 and can change. Check state rules at sro.vic.gov.au and federal rules at firsthomebuyers.gov.au. Worked examples are illustrative and eligibility is only confirmed by the SRO or a participating lender.

Frequently asked questions

Can I still get $20,000 for a new home in regional Victoria?

No. The $20,000 regional grant covered contracts signed up to 30 June 2021. Eligible buyers anywhere in Victoria now receive $10,000.

Does the stamp duty exemption apply to established homes?

Yes. The first home buyer exemption and concession apply to new homes, established homes and vacant land you plan to build on. Only the grant is limited to new homes.

Can I get the duty exemption if I have claimed it before?

Generally no. It is a once-only benefit, and a previous grant or duty concession for you or your partner usually rules you out. Victim-survivors of family violence may be an exception.

Does it matter whose name is on the title?

Everyone on the title must apply for the grant. Your spouse or partner’s ownership history also counts, even if they are not buying with you.

What if my build finishes late?

For the grant, the 12-month move-in window starts when construction is complete. For duty on vacant land, you have until the earlier of 12 months after the occupancy certificate or 36 months after settlement.

Can I use Help to Buy and the 5% Deposit Scheme together?

No. You need to choose one. Either can be combined with the Victorian grant and duty concessions if you qualify.