For many renters looking to buy their first home, saving for a deposit can feel impossible. But what if there were government grants designed to help? The good news is, if you’re building a new home in Perth, you may be eligible for financial assistance that can reduce your upfront costs and make homeownership more affordable.

At Stop Renting Perth, we help renters become homeowners faster by securing house and land packages with low deposit options. We also guide buyers through the process of accessing government grants that can boost their budget and lower costs.

If you’re wondering what government grants are available for new home builds in Perth, how much you could receive, and how to apply, here’s everything you need to know.

What Government Grants Are Available for New Home Builds?

Several government grants and financial assistance programs are available for new home builds in Western Australia. The main grants include:

• First Home Owner Grant (FHOG) – A one-off payment for first-home buyers building a new home.
• Stamp duty concessions – A discount or full exemption on stamp duty for eligible first-home buyers.
• Keystart Home Loans – A low-deposit home loan backed by the WA government.
• Federal First Home Guarantee (FHG) – A national scheme that helps first-home buyers purchase with as little as a 5% deposit.
• Regional Home Building Boost – A grant available for those building a new home in specific regional areas.

First Home Owner Grant (FHOG)

The First Home Owner Grant (FHOG) is a one-off payment of $10,000 designed to help first-home buyers build or buy a brand-new home. If you’re building a new home in Perth, you may qualify for this grant, which can be used toward your deposit, construction costs, or other home-buying expenses.

Who is eligible for the FHOG?

• Be at least 18 years old.
• Be an Australian citizen or permanent resident.
• Be purchasing or building a new home (not an established property).
• Have never received the FHOG before.
• Intend to live in the home for at least six months.
• Have a total home value under $750,000.

How do you apply?

To apply for the FHOG, you can submit an application through:

• Your home loan provider, if they are an approved FHOG agent.
• The WA Department of Finance, if applying directly.

The grant is usually paid at the time of settlement or during construction when the first home loan funds are released.

Stamp Duty Concessions for First-Home Buyers

Stamp duty (officially known as transfer duty) is one of the biggest upfront costs when buying a home. However, first-home buyers in WA may be eligible for a full or partial exemption from stamp duty, depending on the property value.

Who qualifies for stamp duty exemptions?

• Exemption: If you’re a first-home buyer purchasing a home valued at less than $450,000, you may be exempt from paying stamp duty.
• Concessional rate: If your first home is valued between $450,001 and $600,000, you may be eligible for a concessional stamp duty rate.
• Vacant land: First-home buyers purchasing vacant land valued at less than $350,000 are also exempt from stamp duty.

Since stamp duty is based on land value (not house price), building a new home can significantly reduce or eliminate stamp duty costs compared to buying an established home.

Keystart Home Loans

The Keystart Home Loan is a low-deposit home loan offered by the WA government to help first-home buyers get into the market sooner. Unlike traditional lenders, Keystart requires:

• A deposit as low as 2%.
• No lenders mortgage insurance (LMI), which can save buyers thousands.
• A more flexible lending process, making homeownership more accessible.

Federal First Home Guarantee (FHG)

The First Home Guarantee (FHG) is a national scheme that allows eligible first-home buyers to purchase a home with as little as a 5% deposit without paying lenders mortgage insurance (LMI).

Key eligibility criteria:

• Must be a first-home buyer.
• Property price must be under the set price cap for Perth.
• You must have at least a 5% deposit.
• You must live in the home (not for investment purposes).

This scheme is limited to 35,000 spots per year, so it’s important to apply early if you want to secure a place.

Regional Home Building Boost

For those building in regional Western Australia, the Regional Home Building Boost offers additional incentives to encourage new construction in growth areas. This grant applies to specific locations outside metropolitan Perth, helping to support infrastructure and housing development in regional communities. The amount available varies by location and eligibility criteria.

How to Maximise Your Government Grants and Savings

If you’re a first-home buyer building a new home, you can combine multiple grants and schemes to significantly reduce your upfront costs.

For example, if you’re eligible for:

• $10,000 from the First Home Owner Grant (FHOG)
• Stamp duty exemption, saving thousands
• A Keystart Home Loan, requiring only a 2% deposit
• The First Home Guarantee, allowing you to buy with 5% deposit and no LMI

By combining these grants and incentives, many first-home buyers reduce their upfront costs by tens of thousands of dollars.

Common Questions About Government Grants for New Home Builds

Can I use the First Home Owner Grant for a deposit?

Yes, but it depends on your lender. Some banks and lenders will allow the FHOG to be used as part of your deposit, while others require you to have separate savings.

Do I need to pay back the First Home Owner Grant?

No, the FHOG is a grant, not a loan, so you don’t need to repay it. However, if you move out before the required six-month period, you may need to return the funds.

Can I still get government grants if I buy with a partner?

Yes, but both applicants must meet the eligibility criteria. If one person has previously received the FHOG, you won’t be eligible again.

What happens if I buy land first and build later?

You can still apply for the FHOG and stamp duty concessions, but your grant may be processed at different stages—land purchase first, then construction.

Take the First Step Toward Homeownership

Navigating government grants and finance options can be overwhelming, but you don’t have to do it alone. At Stop Renting Perth, we specialise in helping renters transition into homeownership faster by securing house and land packages with low-deposit finance options.

Our team will guide you through:

• Accessing government grants to reduce your costs.
• Finding a house and land package that fits your budget.
• Securing finance with low-deposit options.

Call us today or register your interest online to get started. With the right guidance, you could be closer to homeownership than you think.