First home buyers in Australia in 2026 have access to a range of federal and state government assistance schemes that can significantly reduce the upfront cost of purchasing a home. From stamp duty concessions to the federal First Home Guarantee, understanding which schemes you qualify for — and combining them effectively — can make the difference between purchasing now or waiting years to save more. Here is the complete 2026 guide to first home buyer assistance in Australia.

Federal First Home Guarantee (5% Deposit Scheme)

The First Home Guarantee (FHBG) allows eligible first home buyers to purchase a property with a deposit of as little as 5% without paying Lenders Mortgage Insurance (LMI). The government guarantees the remaining 15% deposit gap to the lender. In 2026, 35,000 places are available per financial year. Key requirements:

  • Income cap: $125,000 p.a. for singles, $200,000 for couples (combined)
  • Property price caps vary by state — in Sydney (NSW) the cap is $900,000; Melbourne/Victoria $800,000; Brisbane/Queensland $700,000
  • You must occupy the property as your principal place of residence
  • Must be an Australian citizen or permanent resident
  • Must not have previously owned a home in Australia

First Home Super Saver Scheme (FHSSS)

The First Home Super Saver Scheme allows you to save for your first home inside your super fund — where earnings are taxed at just 15% instead of your marginal rate. In 2026, you can withdraw up to $50,000 in eligible contributions for a home deposit. Rules include:

  • Voluntary contributions (concessional or non-concessional) made after 1 July 2017 are eligible
  • Concessional contributions up to $15,000 per year (within the $30,000 annual cap) count toward the scheme
  • Maximum withdrawal: $50,000 per person, $100,000 for couples
  • You must apply for a FHSS determination from the ATO before signing a contract

State and Territory Grants and Stamp Duty Concessions in 2026

  • NSW: First Home Buyer Assistance Scheme — full stamp duty exemption on new and existing homes under $800,000; concessions up to $1 million
  • VIC: First Home Owner Grant of $10,000 for new homes (regional: $20,000); stamp duty exemption on new homes under $600,000
  • QLD: First Home Owner Grant of $30,000 on new homes up to $750,000 (announced 2024, extended 2026)
  • WA: First Home Owner Grant of $10,000; stamp duty concessions for homes under $600,000
  • SA: First Home Owner Grant of $15,000 for new builds
  • ACT: Home Buyer Concession Scheme — reduced stamp duty for eligible buyers

First Home Buyer Tax Considerations

Once you own your first home, it becomes your principal place of residence and is exempt from CGT while you live there. If you later rent out part of your home (e.g., a granny flat), the CGT exemption is partially reduced for the income-producing portion. Keep records of your purchase price and costs from day one.

Frequently Asked Questions

Can I use my super for a house deposit in Australia?

Yes — through the First Home Super Saver Scheme (FHSSS) for voluntary contributions, or through limited access to the Downsizer Contribution if you are 55+ and selling an existing home. You cannot access your ordinary SG super contributions for a first home purchase.

Do first home buyers pay stamp duty in 2026?

It depends on the state and the purchase price. NSW provides a full stamp duty exemption for first home buyers on properties up to $800,000 and a concession up to $1 million. Other states have similar but different thresholds and conditions — check with your state revenue office for current figures.

What is the income limit for the First Home Guarantee in 2026?

$125,000 per year for singles and $200,000 combined for couples. Income is assessed on your previous financial year's taxable income plus reportable fringe benefits and reportable employer super contributions. If your income is above these limits, you are not eligible for the FHBG but may still access state-based schemes.

Buying your first home in 2026? Contact AWTS for advice on the FHSSS, stamp duty strategies, and structuring your purchase tax-effectively.