What grants are available for home buyers in Queensland?

The First Home Owner Grant (FHOG) stands as a valuable opportunity when purchasing a property for the initial time in Queensland. Eligible first-time home buyers in Queensland can receive a grant of $15,000 towards purchasing or constructing a new home. To qualify for this grant, prospective buyers must purchase a brand new home or build a home from scratch, with the total value of the property, including the land, not exceeding $750,000.

While the FHOG in Queensland primarily applies to new homes, there are exceptions. Buyers who purchase an off-the-plan property or an established home that has undergone substantial renovations may also be eligible for the grant. It's important to note that substantial renovations involve significant structural changes, such as altering foundations or floors, rather than cosmetic updates like painting walls or sanding floors.

Several conditions must be met to be eligible for the First Home Owner Grant in Queensland:

Firstly, the applicant must be a natural person aged 18 years or older and either an Australian citizen or a permanent resident.

Additionally, the applicant or their spouse should not have previously received a First Home Owner Grant in Australia and must not have previously owned a property in Australia that they lived in. However, owning an investment property is allowed as long as it was not the primary residence.

Furthermore, the recipient of the grant is required to live in their first home for a minimum of six months within a year of becoming the owner.

In addition to the FHOG, there are other existing grants that can aid first home buyers in Queensland. By taking advantage of these grants, buyers could potentially accumulate up to $55,000 in financial assistance, enjoying a smoother path towards homeownership.

Can Kiwis get the FHBG in Queensland?

Moving on to the eligibility of New Zealand citizens, they are considered permanent residents of Australia and therefore qualify for the Australian government's First Home Owners Grant and other associated benefits.

What is the First Home Guarantee Scheme or FHBG?

Announced in the 2022-2023 Federal Budget the government will allocate the scheme to first home buyers who meet their requirements. From 1 July 2022 50,000 recipients of the scheme will pay only 5% deposit on their home loan. 

The FHBG Eligibility requirements for homebuyers are:

• applying as an individual or couple (married / de facto)
• an Australian citizen(s) at the time they enter the loan
  at least 18 years of age
• Single applicants must have a taxable income of less than $125,000, while couples must have a combined taxable income below $200,000 for the previous financial year. It is important to provide the relevant Notice of Assessment from the Australian Taxation Office (ATO) for the preceding financial year when applying for this scheme.
• intending to be owner-occupiers of the purchased property
  first home buyers who have not previously owned, or had an interest in, a property in Australia.
• Under the FHBG, home buyers can purchase a residential property with a price cap $700,000 in the Brisbane City and regional centre and $550,000 for the rest of the Qld state. The property may be an existing house, townhouse or apartment, a house and land package, land/and a separate contract to build a home, an off-the-plan apartment or townhouse.

Is there Stamp Duty for first home buyers in Qld?

If you're buying your first home in Queensland (QLD), you may qualify for a reduction in the amount of money you have to pay for stamp duty. Stamp duty is a tax you pay to the Queensland Government when buying property.

If you're purchasing vacant land to build your first home and the cost of the land is $400,000 or less, you won't have to pay any stamp duty. This means you can save $7,175, which is the usual amount you would have to pay for stamp duty.

If the value of your first home is up to $500,000, you won't have to pay any stamp duty. This allows you to save up to $15,925, which is the maximum amount of stamp duty rebate available for first home buyers in QLD.

Furthermore, there may still be some savings on stamp duty if the value of your first home falls between $500,000 and $550,000. As an example, if your first home is worth $530,000, you would pay $6,300 in stamp duty, saving you $3,500 compared to the regular cost. 

To learn more about Stamp Duty in Queensland read: our guide 

and try our: transfer duty calculator.