First Home Buyer Guide VIC 2026 — Grants, Stamp Duty and Schemes
Victoria has high base stamp duty rates but provides significant concessions for first home buyers — including a full exemption on purchases up to $600,000. The $20,000 regional FHOG makes new builds in regional Victoria particularly attractive. Melbourne’s median house price of approximately $940,000 means many first home buyers focus on units, outer suburbs or regional Victoria.
VIC First Home Buyer Benefits at a Glance (2026)
| Benefit | Amount / Saving | Notes |
|---|---|---|
| First Home Owner Grant (metro) | $10,000 | New builds; contract price threshold applies |
| First Home Owner Grant (regional VIC) | $20,000 | New builds in regional VIC only |
| Stamp Duty Exemption | Up to ~$31,070 | Purchases ≤$600,000 |
| Stamp Duty Concession | Partial saving | Purchases $600,001–$750,000 |
| First Home Guarantee (FHBG) | LMI saving | VIC price cap: $800,000; income cap $125k/$200k |
| Regional First Home Buyer Guarantee | LMI saving | VIC regional price cap: $650,000 |
VIC First Home Owner Grant (FHOG)
Metro Melbourne: $10,000 for eligible new homes
Regional VIC: $20,000 for eligible new homes in regional Victoria
Eligible properties:
- Newly constructed homes — house, townhouse, apartment, unit
- Off-the-plan purchases
- Substantially renovated homes (strict criteria apply)
- Contract price: check current State Revenue Office VIC threshold
Definition of “regional VIC”: State Revenue Office VIC defines regional areas. Generally, areas outside the Melbourne metropolitan statistical area qualify. This includes Geelong, Ballarat, Bendigo, Shepparton, Wodonga and surrounding areas.
Established homes: Not eligible for FHOG.
VIC Stamp Duty Exemption
Victoria has high base stamp duty rates — making the first home buyer exemption particularly valuable.
Full exemption: Zero stamp duty on purchases up to $600,000.
Partial concession: Sliding scale for purchases $600,001–$750,000.
| Purchase Price | FHB Duty | Non-FHB Duty | FHB Saving |
|---|---|---|---|
| $500,000 | $0 | $21,970 | $21,970 |
| $550,000 | $0 | $25,070 | $25,070 |
| $600,000 | $0 | $31,070 | $31,070 |
| $650,000 | ~$9,067 | ~$34,070 | ~$25,003 |
| $700,000 | ~$18,067 | ~$37,070 | ~$19,003 |
| $750,000 | Full duty | ~$40,070 | $0 |
Figures are approximate. Use the State Revenue Office VIC calculator for exact amounts.
First Home Guarantee in VIC
The federal First Home Guarantee allows eligible VIC buyers to purchase with 5% deposit and no LMI.
VIC price cap: $800,000 (Melbourne and non-regional VIC); $650,000 (regional VIC)
At $800,000 in Melbourne, the LMI saving is significant:
- LMI at 95% LVR on $800,000: approximately $25,000–$35,000
- With First Home Guarantee: $0 LMI
Combined schemes example — $550,000 Melbourne unit:
- Stamp duty: $0 (full exemption)
- First Home Guarantee: ~$15,000–$20,000 LMI saving
- FHOG (if new): $10,000
- Total: $25,000–$30,000 saving
VIC Victorian Homebuyer Fund (Shared Equity)
Victoria operates the Victorian Homebuyer Fund, a shared equity scheme providing an equity contribution of up to 25% for eligible buyers.
Features:
- Government co-purchases up to 25% of the property
- Reduces your loan size proportionally
- You are not charged rent on the government’s equity share
- You can buy out the government’s stake over time
This scheme suits lower-income buyers who cannot access adequate borrowing capacity alone but want to purchase in metro Melbourne. Check the State Revenue Office VIC for current income caps and availability.
VIC Property Markets for First Home Buyers
| Market | Median Price (approx.) | Strategy |
|---|---|---|
| Melbourne Inner Ring (0–15km) | $900k–$1.5M+ | Above stamp duty exemption; limited scheme access |
| Melbourne Middle Ring (15–30km) | $700k–$1.0M | FHBG accessible; near stamp duty threshold |
| Melbourne Outer Ring (30–50km) | $500k–$750k | Best access to all schemes |
| Geelong | $600k–$750k | Stamp duty concession; regional FHOG $20k |
| Ballarat | $400k–$550k | Full stamp duty exemption; regional FHOG $20k |
| Bendigo | $400k–$550k | Excellent access to all schemes |
| Shepparton / Mildura | $300k–$450k | All schemes accessible; significant total saving |
Regional VIC offers the most powerful combination: $20,000 FHOG + full stamp duty exemption + FHBG — total potential saving of $50,000+ on a $500,000 property.
Step-by-Step Process for VIC First Home Buyers
- Check FHOG eligibility — new builds under price cap only; confirm regional or metro rate
- Check stamp duty exemption — zero duty under $600k, partial concession $600k–$750k
- Apply for First Home Guarantee through a participating lender if income-eligible
- Get pre-approval — include all debts, HECS balance
- Search properties — set price alerts at $600k and $750k thresholds
- Building/pest inspection before exchange on established homes
- Solicitor reviews contract — VIC contracts include a cooling-off period of 3 business days (private treaty)
- Exchange contracts and pay deposit (10% standard; negotiate less if possible)
- Apply for FHOG through lender at settlement
- Stamp duty concession applied by solicitor
- Settlement — standard 30–60 days post-exchange
Frequently Asked Questions
Is the VIC FHOG available in 2026 for established homes? No. The Victorian FHOG is only available for new builds. Established (second-hand) homes do not qualify.
How much is the Victorian stamp duty exemption for first home buyers? Zero stamp duty on purchases up to $600,000. A partial concession applies for purchases between $600,001 and $750,000.
What is the VIC stamp duty rate for first home buyers on a $650,000 property? At $650,000, approximately $9,067 is payable by a first home buyer (compared to $34,070 for a standard buyer) — a saving of approximately $25,000.
How much is the regional VIC first home owner grant in 2026? $20,000 for new builds in regional Victoria, compared to $10,000 in metropolitan Melbourne.
Key VIC Resources
- State Revenue Office VIC (FHOG and stamp duty): sro.vic.gov.au
- Victorian Homebuyer Fund: homes.vic.gov.au
- Housing Australia (FHBG): housingaustralia.gov.au
Related Guides
- First Home Owner Grant by State
- First Home Guarantee Explained
- Stamp Duty Exemptions Australia
- Shared Equity Schemes Australia
- First Home Buyer Hub
This article provides general information only. Grant amounts, stamp duty rates and scheme eligibility are set by the Victorian and federal governments and can change. Always verify with the State Revenue Office VIC or Housing Australia 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.