With rising house prices and tighter lending conditions, many parents are now exploring how they can support their children in buying their first home. Whether it’s offering a gift, going guarantor, or exploring smart finance structures, more investors are playing an active role in setting their kids up for property success.
In this edition, we’ll break down the latest changes to first home buyer incentives, key lending strategies, and what to consider before lending a hand — financially or otherwise.
As of June 2025, several significant changes have been implemented to assist first home buyers in Queensland, aiming to reduce upfront costs and make homeownership more accessible. Here’s a summary of the key updates.
🏠 Stamp Duty Abolished for New Homes
Effective from 1 May 2025, eligible first home buyers purchasing a newly built home or vacant land in Queensland are exempt from paying stamp duty (also known as transfer duty), regardless of the property’s value. This reform can result in substantial savings; for instance, buyers in Brisbane’s east could save up to $29,500 on a median-priced new home.
💰 First Home Owner Grant (FHOG)
The First Home Owner Grant offers financial assistance to eligible first-time buyers:
- $30,000 for contracts signed between 20 November 2023 and 30 June 2025.
- After 30 June 2025, the grant amount reverts to $15,000.
This grant applies to new homes valued under $750,000, including land.
🏦 Federal “Help to Buy” Scheme
The federal government’s Help to Buy scheme assists eligible buyers by:
- Allowing purchases with as little as a 2% deposit.
- The government contributes up to 40% of the purchase price for new homes and 30% for existing homes.
This initiative aims to make homeownership more attainable for low- to middle-income earners.
📈 Increased Use of Low-Deposit Loans
Many first home buyers are entering the market with deposits as low as 8%, facilitated by government programs like the Home Guarantee Scheme and lender mortgage insurance. While this approach enables earlier entry into the property market, it may lead to higher interest costs and potential risks such as negative equity.