In short: Victorian first home buyers can combine several schemes: no stamp duty up to $600,000 (reduced to $750,000), a $10,000 First Home Owner Grant for new homes up to $750,000, the Australian Government 5% Deposit Scheme (no lenders mortgage insurance, $950,000 Melbourne price cap), the Help to Buy shared equity scheme and the First Home Super Saver scheme. Eligibility rules differ, so check each one.

Breaking into the Melbourne property market is still hard for first home buyers. In an effort to combat this, the state and federal governments have several initiatives in place to help first home buyers get their foot in the door sooner.

We’ll break down each of the most useful first home buyer schemes available to Victorians so you can get a leg up on the path to property ownership.

First Home Owner Grant

The First Home Owner Grant (FHOG) scheme has been in place nationwide since 2000, initially aimed to help offset the effect of GST on house ownership.

The grant is a one-off lump sum for first home buyers that have bought or are building a new home valued at $750,000 or less.

The grant does not have to be repaid and is not taxable, with the grant size and eligibility criteria differing from state to state.

In Victoria, the First Home Owner Grant is $10,000 for buying or building a new home valued at up to $750,000. The home must not have been previously occupied or sold as a residence.

As well as the above conditions, the following nationwide rules will also determine your eligibility for the scheme:

• You must be a permanent resident or Australian citizen of at least 18 years of age.

• You must not have previously owned or co-owned a home in Australia.

• You must not have previously received a First Home Owner Grant.

• You must be buying the property for the purpose of living in it, not as an investment.

• You must move in within 12 months of settlement (or completion of construction) and live there for at least 12 continuous months.

• You must be a natural person (ie: not a company or trust).

To apply for this grant, you can lodge an application with the state revenue office or ask your home loan provider to lodge it for you.

Australian Government 5% Deposit Scheme

Normally, lenders require lenders mortgage insurance (LMI) if your deposit is under 20%. Under the Australian Government 5% Deposit Scheme (formerly the First Home Guarantee), the Government guarantees up to 15% of the property value, so eligible first home buyers can buy with a 5% deposit and no LMI.

Since 1 October 2025 the scheme has no income caps and no limit on places. In Melbourne and regional centres like Geelong the property price cap is $950,000. You must be an Australian citizen or permanent resident, at least 18, buying a home to live in, and you apply through a participating lender or your mortgage broker. Single parents and eligible guardians can also use the Family Home Guarantee with a 2% deposit.

Help to Buy shared equity scheme

Help to Buy opened in December 2025. The Government contributes up to 40% of the price of a new home (30% for an existing home), and you need a deposit of at least 2%. You pay no rent on the Government's share, and can buy it back over time. There are income limits (about $100,000 for singles and $160,000 for couples and single parents at the time of writing) and the Melbourne price cap is $950,000. Check Housing Australia for the current limits and participating lenders.

First Home Buyer Duty Exemption

Stamp duty is the mandatory government tax on certain purchases, including buying a home or an investment property.

Luckily for Victorians, you might be eligible for a first home buyer duty exemption or reduction which can potentially save you tens of thousands of dollars.

For first home purchases valued under $600,000, qualifying buyers will be completely exempt from paying stamp duty. For first home purchases valued between $600,001 and $750,000, a sliding scale of concessional duties may apply.

The eligibility rules are similar to the First Home Owner Grant, but unlike the grant, the duty savings apply to both new and existing homes.

To estimate the duty on your next property, use our free stamp duty calculator.

First Home Super Saver scheme

The First Home Super Saver (FHSS) scheme is another initiative aimed at incentivising the younger market to enter the property market sooner.

The scheme enables eligible individuals to save up for their first home inside their super fund, whilst utilising the concessional tax benefits of superannuation.

Under the scheme, you can make voluntary contributions of up to $15,000 a year, and $50,000 in total, then release them (plus deemed earnings) to use towards your deposit. Couples can each use the scheme for the same home.

These contributions include any made by salary sacrificing or any voluntary contributions you make after tax.

Eligibility for the scheme is determined by the following factors:

• The home you purchase must be located in Australia.

• You must not have previously owned a property.

• You must be at least 18 years of age, although you can make eligible contributions before this age.

• You must not have previously made a FHSS release request.

• You must occupy the premises you buy, or intend to as soon is practicable.

• You must intend to occupy the property for at least six months within the first 12 months that you own it, after it is practical to move in.

Many buyers can combine several of these schemes. For help working out which ones you qualify for, talk to our first home buyer brokers.

Frequently asked questions

How much is the First Home Owner Grant in Victoria?

$10,000, for a new home valued at up to $750,000 that you will live in.

Can I use the 5% Deposit Scheme and the stamp duty exemption together?

Yes. Many Victorian first home buyers combine the 5% Deposit Scheme, the duty exemption or concession, and for new homes, the First Home Owner Grant.

Is there an income limit for first home buyer schemes?

The 5% Deposit Scheme has had no income cap since 1 October 2025. Help to Buy and the Family Home Guarantee do have income limits.

Last updated: 25 October 2026.

General information only. This article does not take into account your objectives, financial situation or needs, so consider whether it is appropriate for you and seek personal advice before acting. Elephant Financial Pty Ltd trading as Elephant Advisory is an authorised credit representative (ACR 487962) of Yellow Brick Road Aggregation Pty Ltd (formerly Vow Financial Pty Ltd) (ABN 66 138 789 161), Australian Credit Licence 390261.