First Home Buyer Grants and Schemes in NSW: What You Need to Know in 2026

If you’re saving for your first home in Sydney — especially here in the Sutherland Shire — you’ve probably heard people mention grants, stamp duty exemptions, and government guarantees. But when you start Googling, it turns into a rabbit hole pretty quickly.

I work with first home buyers every week, and the number one thing I hear is: “I didn’t even know that existed.” So let’s fix that. Here’s a plain-English breakdown of every major grant and scheme available to first home buyers in NSW right now, and more importantly, how to stack them together so you’re not leaving money on the table.

The First Home Owner Grant (FHOG) — $10,000

This is the original one most people have heard of. The NSW Government will give you a $10,000 grant if you’re buying or building a brand-new home. The key word there is new — it doesn’t apply to established properties.

The property value caps are:

• $600,000 for a newly built home
• $750,000 for a new home purchased off the plan or a house-and-land package

For context, $600k–$750k is tight in the Sutherland Shire for a standalone house, but it’s very achievable if you’re looking at new apartments or townhouses in areas like Kirrawee, Miranda, or Caringbah. I’ve had several clients use this grant on off-the-plan purchases in the Shire over the past year.

Stamp Duty Relief — This Is the Big One

Honestly, stamp duty savings often dwarf the FHOG in dollar terms, and they apply to both new and existing homes. Here’s how it works in NSW:

• Full exemption on properties valued up to $800,000 — you pay zero stamp duty
• Concessional rate on properties valued between $800,001 and $1,000,000 — you’ll get a sliding discount

On an $800,000 property, that’s roughly $31,000+ in savings. That’s real, life-changing money that stays in your pocket or goes toward your deposit. If you’re buying an established home in the Shire — say a two-bedroom unit in Cronulla or a townhouse in Gymea — this exemption is likely to apply.

First Home Guarantee (5% Deposit, No LMI)

This is a federal scheme run through Housing Australia, and it’s a game-changer. Normally, if you have less than a 20% deposit, your lender will charge you Lenders Mortgage Insurance (LMI), which can easily add $15,000–$30,000 to your costs.

Under the First Home Guarantee, eligible buyers can purchase with just a 5% deposit and the government guarantees the rest up to 20% — meaning no LMI. The property price cap for Sydney is currently $1,500,000 (increased from $900,000 in October 2025), which covers a wide range of options right across the Sutherland Shire.

As of October 2025, places are no longer limited — the scheme now has unlimited spots and income caps have been removed, making it accessible to far more buyers than before.

Family Home Guarantee — For Single Parents

If you’re a single parent (or single legal guardian of at least one dependent), the Family Home Guarantee lets you buy with as little as a 2% deposit and no LMI. You don’t need to be a first home buyer for this one — it’s designed to help single parents get back into home ownership.

With a 2% deposit on an $800,000 property, you’d need just $16,000 plus costs. It’s not widely known, but I’ve helped several single parents in the Shire access this scheme, and it’s genuinely transformative. As of October 2025, the Family Home Guarantee also has unlimited places and no income cap.

Shared Equity Home Buyer Helper

The NSW Shared Equity scheme was designed for eligible key workers and buyers on moderate incomes. The government contributed up to 40% of the purchase price for a new home (or 30% for existing), with no rent or interest on their share.

Important: The NSW Shared Equity Home Buyer Helper is currently not accepting new applications — the scheme ran in the 2022–23 and 2023–24 financial years and has since paused. If you’re interested in a similar concept, the federal Help to Buy scheme is being introduced and may open to applicants in the near future. I’d recommend speaking with me directly so I can give you the most up-to-date information on this.

Here’s the Real Secret: Stacking These Together

What most people don’t realise is that several of these schemes can be combined. For example, a first home buyer purchasing a new $700,000 townhouse in the Shire could potentially access:

• $10,000 FHOG
• Full stamp duty exemption (saving ~$27,000)
• First Home Guarantee (5% deposit, no LMI)

That’s a combined benefit worth over $50,000. But the eligibility rules interact in specific ways, and not every lender participates in every scheme. This is exactly where working with a broker — rather than going direct to one bank — gives you a real advantage.

I map all of this out with my clients before we even start looking at lenders, so you know exactly what you qualify for and how to structure everything properly.

Let’s Get You Into Your First Home

If you’re thinking about buying your first home in the Sutherland Shire or anywhere in Sydney, I’d love to help you figure out what you’re eligible for and put together a plan that actually works for your situation. No jargon, no pressure — just clear advice.

If you want a suburb-by-suburb breakdown, check out my First Home Buyer’s Guide to the Sutherland Shire. And if you already own a home and want to explore investing, read How to Use Equity in Your Home to Build a Property Portfolio.

Give me a call on 0424 175 869 or submit an enquiry through my website at annawilliams.finance. I’m always happy to have a chat, even if you’re still in the early “just thinking about it” stage.