The First Home Owner Grant: Boosting Your Property Buying Power
For many Australians, the First Home Owner Grant (FHOG) offers a financial head start when purchasing or building a new home. In Queensland, the FHOG can provide up to $30,000 toward the cost of a qualifying property, significantly reducing the out-of-pocket burden for first-time buyers.
Here's how it works—and how a real property scenario plays out with this grant applied.
What Is the First Home Owner Grant (FHOG)?
The FHOG is a government incentive for first-time buyers purchasing or building a new residential property. In Queensland as of 2025, eligible buyers can receive:
- Up to $30,000 for a new home
- Property must be valued under $750,000
- You must move in within 12 months and stay for at least 6 months
- Available to Australian citizens or permanent residents aged 18+
This grant does not have to be repaid and can be used alongside other concessions like stamp duty reductions.
Real-World Example
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- Purchase Price: $645,000
- Location: Growth corridor suburb (eligible for new builds)
- Deposit Saved: $35,000
- Stamp Duty (without concession): ~$15,925
- Stamp Duty (after first home buyer concession): $0
- Loan Required: $610,000
Without FHOG:
- You would need $35,000 for the deposit.
- Total purchase costs (deposit + stamp duty) = $50,925
With FHOG:
- Receive $30,000 directly from the government.
- Total upfront cash required reduces to $20,925 (depending on lender deposit requirements).
- Stamp duty is waived due to the first home buyer concession.
Impact:
- The grant and concession together reduce upfront costs by over $30,000.
- You may now qualify to buy a property months—or even years—sooner than expected.
What You Need to Apply
- Completed FHOG application
- Signed contract of sale
- Proof of identity and residency
- Details of the property and loan
Applications are made through your lender or directly via the Queensland Revenue Office.
Final Thoughts
The FHOG can dramatically improve the affordability of your first home. If you're targeting a new build under $750,000, it's worth exploring how the grant and stamp duty concessions can work in your favor.
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