First home buyers in Queensland can get a $30,000 First Home Owner Grant (FHOG) when they buy or build an eligible new home. If you have been contemplating your eligibility for this assistance from the Queensland government and how this can assist you in buying a new home, let’s break things down.
What is the Australian First Home Owner Grant?
The First Home Owner Grant, or FHOG (also called the First Home Buyers Grant), is one of several forms of government assistance for first-time home buyers in Australia. The way it operates is determined by the state government, which is why the Queensland first homeowners grant differs from other state government grants.
Speaking generally, the First Home Owners Grant is a one-off payment given to first home buyers who meet the set of eligibility requirements. You do not need to make repayments on it, and will not factor into your tax return.
This can help first-time home buyers enter the property market, where homeownership was previously seen as unachievable for many due to the size of a deposit needed to buy your own home.
This first home concession can help first-home buyers avoid high loan-to-value (LVR) tier home loans with high-interest rates attached or help them to avoid lenders mortgage insurance (LMI) — a fee incurred for borrowers when their deposit is below 20% of the property value.
Other government support available for first-home buyers includes the Australian Government 5% Deposit Scheme (formerly the First Home Guarantee) and the Help to Buy shared equity scheme. Some states may also offer stamp duty concessions or exemptions to first-home buyers.
The new option: OwnHome's Deposit Boost Loan
An OwnHome Deposit Boost Loan provides the opportunity for customers to get a foot on the property ladder without hundreds of thousands of dollars upfront.
A Deposit Boost Loan is a loan, so OwnHome does not take a share of your home’s equity. There is also no cap on income, and you can take out a Deposit Boost Loan for a home up to $3 million.
OwnHome is backed by some of Australia’s most trusted financial institutions.
What is it?
With an OwnHome Deposit Boost Loan, all you need is the Low Deposit Premium upfront (up to 2.2% of the purchase price, minimum $9,500), and we’ll cover the rest of your 20% deposit - so you don’t pay Lenders Mortgage Insurance (LMI)! Plus, once you're ready to start the house-hunt, you'll be supported by our team of expert Buyer's Agents - at no additional cost when you pay your Low Deposit Premium upfront!
Here's how it works:
- Bridge your deposit gap - For a Low Deposit Premium of up to 2.2% of the purchase price (minimum $9,500), we’ll cover the deposit you need to unlock your very own 80% LVR mortgage.
- Hello, pre-approval - Your Deposit Boost Loan is paired with an 80% LVR home loan.
- Find your home - When you pay your Low Deposit Premium upfront, our Buyer's Agent service is included to help you from search to settlement.
- Repay over time - You repay your OwnHome Deposit Boost Loan over a 15-year term, with principal and interest repayments at a variable rate. Think of it as paying for your deposit while you live in your home.
Who is eligible?
OwnHome exists to help aspiring homeowners who need a boost to their deposit. Key requirements for a Deposit Boost Loan are:
- Credit in good standing
- Proof of employment
- Permanent residency or citizenship for at least one applicant
- Looking to buy an owner-occupier property
- Savings to cover the Low Deposit Premium (up to 2.2% of the purchase price, minimum $9,500) and government fees and conveyancing
What is the Queensland First Home Owners Grant?
Each territory and state government have their own process and restrictions on the First Home Owners Grant. The Queensland government provide $30,000 as a one-off payment for their First Home Owner Grant on real estate valued at less than $750,000.
In Queensland, you are able to buy a brand new home off a land package, but you may also be eligible for the First Home Owners Grant if you buy an established home with substantial renovations.
Substantial renovations could include significant alterations to the layout and design of the home, altering the flooring, or replacing the foundations. Cosmetic renovations, like new paint or floor sanding, will not count as substantial renovations and will not render you eligible for the FHOG.
Since there is a cap on the purchase price of your new home to meet the eligibility requirements of the FHOG, it may be easier to find appropriate homes or land packages outside of metropolitan hubs like Brisbane.
You have some freedom in your property search, with the ability to buy a new house or a substantially renovated home, an apartment, townhouse or duplex, or vacant land with direct plans to build.
What are the changes to the Queensland First Home Owners Grant?
Prior to 20 November 2023, the FHOG in Queensland offered first-time home buyers $15,000 on their new property purchase. For contracts from 20 November 2023, this doubled to $30,000. It was due to end on 30 June 2025, but it was extended, and the 2026-27 State Budget continued the $30,000 grant for contracts signed from 1 July 2026, with no end date stated.
The current First Home Owners Grant is triple the $10,000 amount accessible to first home buyers in NSW and Victoria.
This is in order to provide support for the changing financial situations of many Australians in light of the cost of living crisis and the increasing purchase prices of residential property around the country. This has left many Australians, particularly young Aussies, with a significant barrier to home ownership.
What are the eligibility criteria for the First Home Owners Grant QLD?
To meet the eligibility requirements of the Queensland First Home Owners Grant, you must meet the following requirements:
- Be an Australian citizen or permanent resident (or apply with someone who is an Australian citizen or permanent resident).
- Be at least 18 years of age.
- You (or your partner in the application) must not have been the prior recipient of a First Home Owner Grant in Australia.
- You must not have previously owned property in Australia that was your principal place of residence.
- You must intend to have the new home as your principal place of residence for a minimum of 6 months within a year of becoming the owner.
Note that you may still be eligible for the Queensland First Home Owners Grant if you have owned an investment property in the past, as long as you didn’t live in it.
The new home:
- Must be valued at less than $750,000 in total (including the land).
- Must be a new home, off-the-plan purchase, substantial renovation, contract to build, or owner-builder transaction.
- Must not have been used before as a place of residence. In the case of a property with substantial renovations, this refers to having been not used as a home since the renovations.
- Could be a house, unit, townhouse, duplex, granny flat, kit or modular home, home in a manufactured home park, or substantially renovated home.
A mortgage broker should be able to direct you towards any other government grants and appropriate support you may be eligible for.
