Can First Home Buyers Afford Family?
Entry-level prices (2026):
- Cheapest houses: $476,060 - $539,534
- Entry-level units: $253,898 - $349,110
- Off-the-plan apartments: $222,161 - $317,373
A stretch for first-home buyers on houses, but units are achievable. Consider the newer developments for better value.
Grants & Concessions Available
First Home Owner Grant (FHOG)
- Amount: $10,000
- Eligible in Family? YES – new homes under $750,000 qualify
- Applies to: New homes, off-the-plan apartments, house and land packages
Stamp Duty Concessions
- Full exemption: Properties under $600,000 (many units qualify)
- Partial concession: Properties $600,001-$750,000
- Your stamp duty on median: $34,911 (no concession at this price point)
First Home Guarantee (Federal)
- Buy with as little as 5% deposit – no LMI required
- Income cap: $125,000 (singles), $200,000 (couples)
- Price cap for Melbourne: $800,000
What You Need
| Item | Houses | Units |
|---|---|---|
| Deposit (5% with guarantee) | $31,737 | $17,455 |
| Deposit (10% standard) | $63,474 | $34,911 |
| Deposit (20% no LMI) | $126,949 | $69,822 |
| Stamp duty | $34,911 | $13,964 |
| Legal/conveyancing | $1,500-2,500 | $1,500-2,500 |
| Building/pest inspection | $500-800 | $300-500 |
Monthly Repayments
At current rates (~6.2% variable):
| Loan Amount | Monthly Repayment | Income Needed |
|---|---|---|
| $507,797 (80% LVR) | $2,750/mo | $110,022/yr |
| $314,199 (unit, 90% LVR) | $1,701/mo | $68,076/yr |
Tips for First Home Buyers in Family
- Compare older units (better value) vs newer developments (grant eligible)
- Get pre-approval before inspecting – agents prioritise finance-ready buyers
- Check both auction and private treaty options – this market has both
- Budget $5,000-10,000 above purchase price for moving, connection fees, and furniture
- Apply for the First Home Guarantee early – places are limited each financial year
For current property prices, see our Family median prices.
Grant eligibility and concession thresholds current as of April 2026. Check sro.vic.gov.au for the latest conditions. Individual circumstances affect eligibility.
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