How to Get the Most From the First Home Owners Grant Increase

If you are in the market for a new home, you have probably heard by now of the First Home Owners Grant (FHOG) being increased from $7,000 to $10,000 for new homes in Western Australia. This is a remarkable opportunity for first time home buyers as it makes homes even more affordable than before.

But how can you get the most from it?

Check if You Are Eligible

Not everyone can qualify for the new grant. The criteria for getting the FHOG is as follows. You must:

  • Be an Australian citizen or a permanent resident
  • Never have owned a residential property in Australia
  • Never have already received an FHOG
  • Be at least 18 years old
  • Reside in the new home for a period of at least 6 months within a year of when the FHOG transaction is completed

Take Advantage of Stamp Duty Concessions

Stamp Duty savings are another huge financial benefit offered by the WA Government to first home buyers. Stamp duty on vacant land up to $300,000 is waived in Western Australia. Stamp Duty would not have to be paid on property constructed on the land.

In other words, with a house and land construction package your stamp duty on land up to $300,000 would be waived. There would be no stamp duty on subsequent construction, allowing for significant savings on the total costs of your new home.

Consider a Fixed Rate Loan

Your FHOG Grant and Stamp Duty savings can help you save up deposit for your first home loan. While variable rate home loans have traditionally been popular in Australia, recent interest rate cuts have made getting a fixed rate loan more attractive.

With official interest rates at 2.5%, the lowest in decades, getting a fixed rate loan with your builder’s finance team or mortgage broker can help guarantee affordable monthly mortgage payments well into the future.

Fixed rate loans are a great option now, but a variety of other financing options such as variable rate loans, low deposit loans, and Keystart home loans exist to meet the needs of first home buyers. Speak with your builder’s finance team or a reputable mortgage broker for details about the right loan for you.

Find a Good Builder

The new FHOG grant and stamp duty savings make a new home affordable, but affordability means nothing if you end up with a shoddy home.

Building a home is a huge task that requires skill and experience. On the surface there are quite a few builders offering new homes in Western Australia, but to find one that can actually deliver a quality new home at a good price make sure to look for one that has:


Your first home is one of the biggest investments you will make. Don’t let it go to waste by going with the wrong builder. Make sure your builder has the experience and ability to execute.  Ask how long they have been building for. A bigger builder often has more experience across a range of designs and can promise better quality. Get referrals if you can and see if previous customers were satisfied with their homes.


Some builders promise you the world, but blur out the details. When choosing a builder for your first home, go with one that gives all the details about their designs and states their fees up front so you do do not wind up with anything unexpected.


Building a home is all about getting what you want. A good builder will have a large range of designs to choose from and the options to let you customise your new home to your family and your needs. A good builder will also have the experience in execution to construct the design as planned with top class workmanship.

The new FHOG increase makes homes more affordable for first time home buyers who qualify. Taking advantage of the options available can help you save thousands of dollars and make your dreams of homeownership come true.