Are You Eligible for the First Home Owners Grant?

Lending expert discussing with client about whether they are eligible for the First Home Owners Grant

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Key Takeaway Table

Key Point Description
Basic Eligibility Criteria
All applicants must be natural persons aged 18 and above. To be considered for the grant, at least one name on the application must be an Australian citizen or a foreign national with permanent resident status. Applicants must be first-time home buyers with no previous residential properties. Most importantly, applicants must not have successfully received the FHOG before.
Eligible Properties
Properties eligible for FHOG approval include new homes, new builds, existing homes with significant structural renovations, off-the-plan homes with no previous occupants, and in some states, relocated homes. Property values must stay within your state's price cap.
Application Timeframe
Applications must be submitted within your state's required timeframes. Usually, you must lodge your application directly or through an approved agent within 12 months of signing the contract of sale or construction.
Occupancy Requirement
You are required to reside in your property within 12 months of settlement or completion. You must consider the home as your permanent residence, and you must live there continuously for at least six months or more, depending on your state.

The First Home Owners Grant (FHOG) is a nationwide act aimed to help with the purchase or construction of first homes. However, not everyone is qualified to receive this grant. Here’s a comprehensive guide to help you understand what types of applicants and properties get approved.

Basic Eligibility Criteria

The FHOG is available to applicants who fulfil the following personal criteria:

Eligible Properties

The property criteria for the FHOG can vary by state. However, there are common criteria that generally apply. Here’s an overview of typical property criteria for the FHOG:

New Homes

The property must be a new home, which can include:

Property Value Caps Per State

Each state sets limits on the value of the property for FHOG applications. See the value caps for each state below:

Property Types

The FHOG typically covers various types of homes, including houses, townhouses, duplexes, apartments, and units, as long as they meet the other eligibility criteria.

Application Timeframe

Applicants must submit their applications in the correct timeframe, otherwise, the application may be rejected. Deadlines for applications may vary per state, but in general, applications must be made within 12 months after the date of contract signing, whether your home is a new build or a significantly renovated home.

Occupancy Requirement

All applicants must occupy the property as their principal place of residence for a continuous period of at least 6 months. They must reside in the home within 12 months of settlement or construction completion. This is an important requirement that state governments pay close attention to. The purpose of the grant is to encourage home ownership, so they want the funds to go into permanent housing and not elsewhere. Here are some situations that are not allowed under FHOG requirements:


Living in the home for less than 6 months


Only living in the home intermittently

Main Residence

Maintaining a different main residence

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Leasing out the property within the 12-month period

Property appreciation

Leaving the home empty within the 12-month period


Conducting renovations on the home and living elsewhere

If you cannot fulfil the residency requirement, you must write to inform your state commissioner before the 12-month period ends. Depending on your reason and the commissioner’s discretion, you may be allowed to stay in the property for a period shorter than 6 months. You may also be allowed to commence living in the property after the 12-month period. However, you must be able to demonstrate that your reason is something beyond your control.

Reach Out to Loan Experts

Are you looking to purchase or build your first home? We can help you find the best lenders included in your state’s list of approved agents. We’ll let you know your options so you can get the most favourable terms and maximum savings. Reach out today to learn more.

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