Quick answer: The First Home Owner Grant in Victoria is $10,000 for eligible first home buyers building or buying a new home valued at $750,000 or less. You must live in the home for at least 12 months.
The FHOG is one of the biggest financial incentives for first-time builders in Victoria. Combined with stamp duty concessions, it can save you $30,000–$50,000 compared to buying an established home.
Who Is Eligible?
To qualify for the FHOG in Victoria, you must meet ALL of these criteria:
- First home buyer — you (or your partner) have never owned a residential property in Australia
- Over 18 years of age
- Australian citizen or permanent resident (at least one applicant)
- New home — the property must be a new home (never previously occupied) or you must be building a new home
- Value cap — the total value of the home (including land for a house and land package) must be $750,000 or less
- Primary residence — you must move in within 12 months and live there for at least 12 consecutive months
- Not a company or trust — the purchase must be by a natural person
What Counts as a “New Home”?
- A home you build yourself (owner-builder)
- A home built for you by a builder (contract to build)
- A brand new home that has never been lived in (buying off-the-plan or from a developer)
- A substantially renovated home (where the renovation is so extensive it creates a “new” home)
What Does NOT Qualify
- Established/existing homes (even if you’ve never owned before)
- Properties over $750,000 total value
- Investment properties
- Homes you don’t plan to live in for 12+ months
- Vacant land (you get the grant when you build, not when you buy land)
How Much Can You Save?
For a first home buyer building a new home in Victoria in 2026:
| Saving | Amount | Conditions |
|---|---|---|
| FHOG | $10,000 | Home value ≤ $750,000 |
| Stamp duty exemption | Up to ~$31,000 saved | Property value ≤ $600,000 (full exemption) |
| Stamp duty concession | Reduced rate | Property value $600,001 – $750,000 |
| Stamp duty on land only | Saves thousands | You only pay stamp duty on land, not the build (if buying land then building) |
Example: Building in Melbourne’s West
| Scenario | Buying Established | Building New |
|---|---|---|
| Property value | $650,000 | $650,000 (land $300K + build $350K) |
| FHOG | $0 | $10,000 |
| Stamp duty | ~$34,000 (on full value) | ~$13,000 (on land only) |
| Total upfront costs saved | — | ~$31,000 |
Building a new home can save over $30,000 in upfront costs compared to buying established — even before considering that you get a brand-new home.
See how much you can save by building
Our calculator shows your total project cost — including FHOG and stamp duty savings.
How to Apply
If You’re Building (Most Common)
- At contract stage — when you sign a building contract, tell your builder you’re applying for the FHOG
- Builder applies on your behalf — most builders handle the FHOG application as part of the contract process
- Grant is offset against progress payments — the $10,000 is typically applied to your first or final progress payment, reducing what you owe
- Alternative: Apply directly — you can apply directly through the State Revenue Office (SRO) Victoria after construction begins
If You’re Buying a New Home
- At settlement — your conveyancer/solicitor lodges the FHOG application
- Grant is offset against the purchase price — reduces your settlement amount
- Apply through SRO Victoria — or through your lender if getting a home loan
What You Need to Apply
- Proof of identity (100 points of ID)
- Contract of sale or building contract
- Evidence the property is a new home
- Statutory declaration confirming eligibility
- If building: certificate of occupancy (when construction is complete)
FHOG + Building: Timeline
| Step | When | What Happens |
|---|---|---|
| Buy land | Month 1 | Pay stamp duty on land only (not the build) |
| Sign building contract | Month 2-3 | Builder lodges FHOG application |
| Construction starts | Month 3-6 | Builder begins work |
| FHOG applied | During build | $10,000 offset against a progress payment |
| Construction complete | Month 12-18 | Certificate of occupancy issued |
| Move in | Within 12 months of completion | Must live there for 12+ consecutive months |
Changes in 2026
The Victorian government has maintained the FHOG at $10,000 for 2026 with the same $750,000 cap. Key points for 2026:
- No changes to the grant amount — still $10,000
- No changes to the cap — still $750,000
- Stamp duty thresholds unchanged — full exemption up to $600,000, concession $600,001–$750,000
- Off-the-plan concessions — still available for apartments and townhouses purchased off-the-plan
Common Questions
Can I get the FHOG if I’ve owned property overseas?
Yes — the FHOG applies to Australian residential property only. If you’ve owned property overseas but never in Australia, you may still be eligible.
What if my partner has owned a home before?
If either applicant (or their spouse/partner) has previously owned residential property in Australia, neither is eligible for the FHOG, even if only one person is on the title.
Does the $750,000 cap include land?
Yes — for a house and land package, the total combined value (land + build) must be $750,000 or less. For a building contract on land you already own, it’s the total value of the land + construction.
Can I rent out the property after 12 months?
Yes — once you’ve lived in the property for 12 consecutive months, you can rent it out. Many first home buyers do this to build equity.
What if I sell before 12 months?
If you sell or stop living in the property before the 12-month occupancy period is complete, you must repay the grant in full. The SRO may also impose penalties.
Can I get the FHOG and stamp duty exemption together?
Yes — they are separate benefits and you can receive both. A first home buyer building a new home under $600,000 gets: $10,000 FHOG + full stamp duty exemption.
Information current as of April 2026. Based on State Revenue Office Victoria guidelines. Always verify your eligibility with SRO Victoria or a qualified financial adviser before making financial decisions.
Related Guides
- Cost to Build a House in Melbourne — Full cost breakdown
- Stamp Duty on Land Victoria — How much you’ll save by building
- Build vs Buy — Which Is Smarter? — Full comparison
- First Home Owner Grant NSW — If you’re considering Sydney
