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.
If you’re building your first home in Victoria, the FHOG puts $10,000 back in your pocket. Stack it with stamp duty concessions and you’re looking at $30,000–$50,000 in savings compared to buying an established place. That’s enough to upgrade your kitchen or cover months of mortgage repayments.
Who Is Eligible?
You need to tick every box on this list. Miss one and the SRO will knock you back:
- 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 (we’re talking gut-reno level — not just a new bathroom)
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?
Here’s what a first home buyer building in Victoria in 2026 can actually pocket:
| 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 |
That’s over $30,000 less at settlement compared to buying an established place, and you end up with a brand-new home instead of someone else’s problems.
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)
Your builder usually handles the paperwork for you.
- At contract stage — mention the FHOG when you sign your building contract
- Builder lodges the application — most builders do this as part of their standard process
- Grant offsets a progress payment — the $10,000 gets knocked off your first or final progress payment, so you pay less out of pocket
- Or apply yourself — you can go directly through the State Revenue Office (SRO) Victoria after construction starts
If You’re Buying a New Home
- At settlement — your conveyancer or solicitor lodges the FHOG application on your behalf
- Grant reduces your settlement figure — that’s $10,000 less you need on the day
- Apply through SRO Victoria — or your lender can handle it if you’re 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
Short version: nothing’s changed. The Victorian government kept the FHOG at $10,000 with the same $750,000 cap for 2026. Specifically:
- 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 grant only looks at Australian residential property. So if you owned a flat in London or an apartment in Mumbai, that doesn’t count against you. As long as you’ve never owned residential property in Australia, you’re in the clear.
What if my partner has owned a home before?
This is where a lot of people get caught out. If either you or your partner has ever owned residential property in Australia, neither of you qualifies, even if only one name is going on the title. It doesn’t matter that you personally never owned. The SRO looks at the couple, not the individual.
Does the $750,000 cap include land?
Yes, and this trips people up. For a house and land package, you add the land price and the build cost together. That total must stay at $750,000 or under. Same deal if you already own the land: the SRO adds your land value to the building contract value. If you’re sitting at $740,000 and your builder quotes a variation that pushes you over, you lose the grant entirely. Worth watching closely.
Can I rent out the property after 12 months?
Yes. Once you’ve done your 12 consecutive months living there, the place is yours to do what you want with. Plenty of first home buyers move out and rent it after that. It’s a solid way to start building equity while you go back to renting somewhere that suits your lifestyle better.
What if I sell before 12 months?
You’ll have to pay the full $10,000 back. The SRO doesn’t do partial refunds. It’s all or nothing. And depending on the circumstances, they can add penalties on top. If something comes up and you genuinely can’t stay (medical reasons, family breakdown), talk to the SRO before you move out. They have discretion, but you need to ask, not just disappear.
Can I get the FHOG and stamp duty exemption together?
Yes, and you should. They’re separate schemes and they stack. If you’re building a new home under $600,000, you get the $10,000 FHOG plus a full stamp duty exemption. That’s the best-case scenario. The government set it up specifically to push first home buyers toward new builds.
Information current as of April 2026, based on State Revenue Office Victoria guidelines. Check your eligibility with SRO Victoria or a qualified financial adviser before making any decisions. Rules can change mid-year.
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
