First Home Buyer Grants and Schemes in NSW (November 2026)

In NSW, first home buyers pay no stamp duty up to $800,000 and a reduced rate up to $1,000,000. Federally, the 5% Deposit Scheme lets you buy up to $1.5 million in Sydney with a 5% deposit and no LMI. The $10,000 First Home Owner Grant only applies to new homes with low price caps, so it's not applicable to Inner West properties.

There are five schemes. Most Inner West first home buyers will use two or three of them together. Here's what each one does and which ones fit at typical Inner West price points.

NSW schemes

First Home Buyers Assistance Scheme (stamp duty)

• No stamp duty on new or existing homes up to $800,000.
• A concessional (reduced) rate between $800,000 and $1,000,000.
• At $1,000,000 and above, no concession applies.
• At least one buyer must be an Australian citizen or permanent resident.
• You must move in within 12 months and live there for at least 6 months straight.

In the Inner West, $800K will get you a decent one-bedroom unit, and up to $1M will get you a quality 2-bedroom unit. I also work with first home buyers in the St George and Canterbury areas where you can buy a 2-bedroom unit under $800K.

First Home Owner Grant

• A one-off $10,000 payment.
• Only for newly built or substantially renovated homes, not established homes.
• Price caps apply: $600,000 for buying a new home, or $750,000 for land plus build.

Across the Inner West, the minimum price for a one-bedroom unit sits around $720,000, so buyers here won't be eligible. Buyers can purchase in St George and Canterbury areas.

National schemes

5% Deposit Scheme (no LMI)

• Buy with a 5% deposit (2% for single parents) and pay no lenders mortgage insurance.
• Sydney price cap is $1.5 million.
• No income caps and no limit on places.
• Australian citizens and permanent residents.
• Only through participating lenders, and you still need to meet the lender's own requirements.

This is the scheme most Inner West first home buyers will use. This because the price cap is conducive to median prices for units in these suburbs. And most first home buyers aren't able to afford such a high entry price, so most will be within the price cap.

Help to Buy (shared equity)

• Minimum 2% deposit.
• Sydney price cap is $1.3M
• The government co-purchases up to 30% of an existing home (40% for a new build), so your loan is smaller.
• Income caps apply ($103K single, $165K couple, $165K single parent).
• No LMI.
• Australian citizens only.
• Can't be used together with the 5% Deposit Scheme.
• Only 10,000 places available each year.

It suits buyers whose deposit and borrowing power are the problem. Keep in mind the government owns part of your home and shares in its growth when you sell or buy back its share.

First Home Super Saver Scheme (FHSS)

• Save part of your deposit inside super through voluntary contributions (not the super guarantee from your employer).
• Withdraw up to $50,000 per person towards your deposit.
• Couples can each use it.

The FHSS only releases extra voluntary contributions you’ve made yourself, such as salary sacrifice or after-tax contributions. Your employer’s compulsory super doesn’t count. If you haven’t made extra contributions yet, only up to $15,000 of contributions per financial year can count towards the scheme, with a total limit of $50,000. This means it takes years to build up. Talk to your accountant or a licensed financial adviser about whether it suits you.

Which schemes fit at Inner West price points?

These are examples for a single or couple with no dependants, buying an established home, who are citizens or permanent residents.

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Before you rely on a scheme

1. Speak to a mortgage broker first. They'll confirm which schemes you qualify for and which lenders take part.
2. Get pre-approval with the scheme built in. Don't make an offer until it's in place.
3. Check the price caps before you search. Every scheme has its own rules and caps.
4. Tell your conveyancer early. Stamp duty and grant applications are usually handled before settlement.

FAQs

Can I get the First Home Owner Grant on an established home in NSW? No. In NSW the grant only applies to new or substantially renovated homes.

Do first home buyers pay stamp duty in NSW? Not up to $800,000. Between $800,000 and $1,000,000 you pay a reduced rate. At $1,000,000 or more you pay full stamp duty. Terms and conditions apply!

Can I use the 5% Deposit Scheme for a unit in the Inner West? Yes, as long as it's your home (not an investment), the price is under $1.5 million and your lender is on the scheme panel. Terms and conditions apply!

Can I combine schemes? Yes, in most cases. Stamp duty relief, FHSS and the 5% Deposit Scheme can be used together. Help to Buy can't be combined with the 5% Deposit Scheme. Terms and conditions apply!

Need help buying your first home in the Inner West?

Schemes help with the deposit and costs. They don't help you pick the right property or pay the right price. That's where I come in. Learn about my First Home Buyer service or read pre-auction offer or auction? and hidden strata costs every buyer should know.

General information only, not financial advice. Eligibility criteria apply to all schemes and they change. Always confirm with Revenue NSW (revenue.nsw.gov.au), Housing Australia (firsthomebuyers.gov.au, housingaustralia.gov.au), the ATO (ato.gov.au) and a participating lender.