First Home Buyer Guide ACT 2026 — Home Buyer Concession Scheme

Updated

First Home Buyer Guide ACT 2026 — Home Buyer Concession Scheme

The Australian Capital Territory takes a distinctive approach to first home buyer assistance. The ACT does not offer a First Home Owner Grant, but the Home Buyer Concession Scheme (HBCS) provides full stamp duty exemption for eligible buyers — with the eligibility based on income and household composition rather than property type. The ACT is also transitioning from stamp duty to a broad-based land tax system.


ACT First Home Buyer Benefits at a Glance (2026)

BenefitAmount / SavingNotes
First Home Owner Grant (FHOG)NilACT does not offer a FHOG
Home Buyer Concession Scheme (HBCS)Full stamp duty exemption (income-tested)Income thresholds apply; property must be principal place of residence
First Home Guarantee (FHBG)LMI savingACT price cap: $750,000; income cap $125k/$200k
Regional First Home Buyer GuaranteeNot applicableACT is not classified as regional

No FHOG in the ACT

The ACT is the only state or territory in Australia that does not offer a First Home Owner Grant. The ACT government’s position is that broader structural assistance through the HBCS and the transition to a land tax system provides a better basis for housing policy.


ACT Home Buyer Concession Scheme (HBCS)

The HBCS provides a full exemption on conveyance duty (stamp duty) for eligible home buyers. Key features:

Eligibility criteria:

  • At least one applicant must be purchasing their first home (or have not owned residential property in Australia recently — check current rules)
  • Property must be used as the principal place of residence
  • Income threshold applies — the scheme is means-tested

Income thresholds (indicative — verify with ACT Revenue Office):

Household TypeIncome Threshold (indicative)
Single~$160,000
Couple (no dependants)~$175,000
Couple or single with 1 dependant~$190,000
Each additional dependant+$15,000

ACT income thresholds are higher than many other states’ schemes and are adjusted periodically. Always verify current thresholds with the ACT Revenue Office (revenue.act.gov.au).

Property price threshold: A property value cap applies — check the ACT Revenue Office for the current threshold (historically around $750,000–$1,000,000+).

Scope: The HBCS applies to both new and established properties — an important distinction from most other state schemes.


ACT Conveyance Duty (Stamp Duty)

ACT stamp duty is formally called conveyance duty. If you don’t qualify for the HBCS, you pay conveyance duty at standard rates:

Purchase PriceStandard Conveyance Duty
$400,000~$11,400
$600,000~$22,200
$750,000~$30,450
$900,000~$38,700

For eligible HBCS buyers, the duty is waived — a saving of $11,400–$38,700+ depending on purchase price.


ACT Transition from Stamp Duty to Land Tax

The ACT introduced a major tax reform from 2012: a staged transition from stamp duty to an annual general rates levy (essentially a land tax). Each year, stamp duty rates have been reduced and general rates increased.

What this means for buyers:

  • ACT conveyance duty rates have been gradually reduced over 15+ years
  • General rates (annual land tax/council rates) are higher in the ACT than most other jurisdictions
  • Over the long term, this means lower transaction costs on purchase, but higher ongoing ownership costs

For first home buyers planning to hold long term, this can be advantageous (lower entry cost, spreading the tax over the holding period).


First Home Guarantee in the ACT

The federal First Home Guarantee allows eligible ACT buyers to purchase with 5% deposit and no LMI.

ACT price cap: $750,000 (Canberra)

Canberra’s median house price is approximately $870,000 (early 2026). The $750,000 FHBG cap requires buyers to focus on units/apartments, outer Canberra districts (Tuggeranong, Belconnen outer ring) or smaller homes.

LMI saving on $720,000 at 95% LVR: Approximately $20,000–$28,000.


ACT Property Markets for First Home Buyers

MarketMedian Price (approx.)Strategy
Inner Canberra (Braddon, Civic, Narrabundah)$750k–$1.2M+Houses above cap; apartments accessible
Belconnen / Gungahlin$600k–$850kMid-range; units within FHBG cap
Tuggeranong$550k–$750kGood FHBG access; more affordable houses
Queanbeyan (NSW border)$500k–$700kNote: QBN is NSW — different schemes apply
Woden / Weston Creek$600k–$800kNear FHBG cap threshold

Note: Queanbeyan is geographically close to Canberra but is in NSW — NSW schemes apply there, not ACT schemes.


ACT Stamp Duty vs HBCS — Key Points

For buyers earning above the HBCS income threshold:

  • You pay full conveyance duty — there is no partial concession above the income threshold (unlike the sliding scales in NSW and VIC)
  • The transition to lower duty rates means ACT duty is lower than it was a decade ago, but still significant at higher property prices

Step-by-Step Process for ACT First Home Buyers

  1. Check HBCS eligibility — income threshold, property price cap, intent to occupy
  2. Check First Home Guarantee eligibility — income under $125k/$200k; property under $750k
  3. Understand ACT general rates — annual land tax-equivalent; budget for this as an ongoing cost
  4. Get pre-approval from a FHBG-participating lender or your chosen lender
  5. Search properties — note $750k FHBG cap; units are the most common entry-point
  6. Building and pest inspection — recommended even for newer properties
  7. Solicitor reviews contract — ACT has a cooling-off period for private treaty
  8. Exchange and settlement — HBCS concession applied at settlement by solicitor
  9. Register at ACT Revenue Office for HBCS if not applied through lender

Frequently Asked Questions

Does the ACT have a First Home Owner Grant? No. The ACT is the only state or territory in Australia without a FHOG. The Home Buyer Concession Scheme (stamp duty exemption) serves a similar purpose for eligible buyers.

How much is the ACT Home Buyer Concession Scheme worth? The HBCS provides a full exemption on conveyance duty (stamp duty). On a $700,000 property, this saves approximately $27,000–$29,000.

What is the income limit for the ACT HBCS? Income thresholds are higher in the ACT than many other states. Single buyers with income around $160,000 and couples around $175,000+ may be eligible. Thresholds increase with dependants. Always verify with the ACT Revenue Office.

Can I combine the HBCS with the First Home Guarantee in the ACT? Yes — if you meet the eligibility criteria for both (HBCS is income-tested; FHBG has separate income caps), you can combine them. The HBCS eliminates stamp duty; the FHBG eliminates LMI.


Key ACT Resources

  • ACT Revenue Office (HBCS and conveyance duty): revenue.act.gov.au
  • Housing Australia (FHBG): housingaustralia.gov.au


This article provides general information only. ACT scheme eligibility criteria, income thresholds and conveyance duty rates are set by the ACT government and can change. Always verify with the ACT Revenue Office before purchasing. For advice tailored to your situation, speak with a licensed mortgage broker or financial adviser. Find one through MoneySmart.

Disclosure: This article contains general comparisons of government schemes. Peakifi does not receive commissions from any government body or scheme administrator.