Frequently Asked Questions
The First Home Owner Grant (FHOG) is a national scheme funded by individual Australian states and territories to help first-time buyers offset the upfront costs of purchasing or building a brand-new, never-before-occupied home. Established (second-hand) properties do not qualify for the grant anywhere in Australia, though they may still be eligible for separate first-home buyer stamp duty concessions.
Because you are located in Victoria, here is exactly how the grant works locally, followed by a state-by-state breakdown.
Victoria FHOG Rules (2026)
If you are buying or building in Victoria, you can receive a one-off payment of $10,000 if you meet the following conditions:
- Property Value Cap: The contract price or total value of the house and land package must be $750,000 or less. Going even $1 over this limit disqualifies you from the entire grant. [1, 2]
- What Counts as "New": The property must be a brand-new house, townhouse, apartment, unit, or a home built under a house-and-land contract. It cannot have been previously sold, lived in, or rented out (including short-term rentals like Airbnb). [1, 2]
- Residency Requirement: At least one applicant must move into the property within 12 months of settlement (or build completion) and live there continuously as their primary residence for at least 12 months. Note: Active Australian Defence Force personnel are exempt from this residency rule.
- Applicant Eligibility: All people listed on the property title must be natural persons (not a trust or company), at least 18 years old, and at least one must be an Australian citizen, permanent resident, or New Zealand citizen. You cannot have owned residential property in Australia before 1 July 2000, or lived in a property you owned for more than 6 months after that date.
2026 First Home Owner Grants by State
If you are looking outside of Victoria, or want to compare how the grant varies across Australia, the amounts and conditions differ significantly by region:
| State / Territory | FHOG Amount | Maximum Property Value Cap |
|---|---|---|
| Victoria | $10,000 | Up to $750,000 |
| New South Wales | $10,000 | Up to $600,000 (new home) or $750,000 (land + build) |
| Queensland | $30,000 | Under $750,000 |
| Western Australia | $10,000 | Up to $800,000 (South of 26th parallel) or $1,000,000 (North) |
| South Australia | $15,000 | No price cap (for contracts signed from June 2024) |
| Tasmania | $20,000 | No price cap |
| Northern Territory | $50,000 | HomeGrown Territory Grant rules apply |
| Australian Capital Territory | $0 (No grant) | Replaced by full stamp duty exemptions |
Stacking the Grant with Other Schemes
The FHOG does not work in isolation. In Victoria, you can layer this grant with other state and federal incentives to maximize your savings:
- Stamp Duty Exemption/Concession: In Victoria, first-home buyers pay zero stamp duty on properties valued up to $600,000. For homes priced between $600,001 and $750,000, the stamp duty is applied on a sliding scale. This applies to both new and established homes. [1, 2]
- Australian Government 5% Deposit Scheme: Formerly the First Home Guarantee, this initiative allows you to buy a home with as little as a 5% deposit without needing to pay expensive Lenders Mortgage Insurance (LMI). [1, 2]
- First Home Super Saver (FHSS) Scheme: This federal program lets you make voluntary contributions to your superannuation fund to save for your home deposit faster due to concessional tax treatments. [1]
Financial Foundations & Borrowing
How much deposit do I actually need?
- Ideally 20% of the property's purchase price to avoid paying Lenders Mortgage Insurance (LMI).
- Many lenders allow a 5% minimum deposit, but you will need to factor in the extra cost of LMI.
What is Lenders Mortgage Insurance (LMI)?
- A one-off fee charged by lenders if your deposit is under 20%.
- It protects the lender, not you, in case you default on the loan.
- It can often be added (capitalised) onto your total loan amount.
How much can I borrow?
- Lenders look at your income, existing debts, and living expenses.
- They apply a "serviceability buffer" (usually 3% above the current interest rate) to ensure you can handle future rate rises.
Government Grants & Assistance
What grants am I eligible for?
- First Home Owner Grant (FHOG): A lump-sum cash grant available if you buy or build a brand-new home (limits vary by state).
- Stamp Duty Concessions: Most state governments waive or heavily discount stamp duty for first-time buyers under certain property value thresholds.
What is the Home Guarantee Scheme (HGS)?
- A federal government initiative allowing eligible buyers to secure a home with as little as a 5% deposit without paying LMI.
- The government guarantees the remaining 15% to the lender. Places are capped each financial year.
Hidden & Upfront Costs
What costs do I need to save for besides the deposit?
- Stamp duty: Government property transfer tax (if not exempt).
- Conveyancing/Legal fees: For contract reviews and settlement (approx. $1,000–$2,000).
- Building and pest inspection: Essential before buying a house to check for structural flaws or termites (approx. $400–$800).
- Loan establishment fees: Charged by the bank to set up the mortgage.
Loan Structure Comparison
Choosing between a fixed or variable interest rate is a major decision point.
| Loan Type | Pros | Cons | Best Suited For... |
|---|---|---|---|
| Fixed Rate |
|
| Buyers on a strict budget who value predictability. |
| Variable Rate |
|
| Buyers wanting flexibility and features to pay off debt faster. |
The Buying Process
What is pre-approval and why do I need it?
- A conditional approval from a lender stating how much they are willing to lend you.
- It gives you a clear budget and makes you a serious buyer in the eyes of real estate agents.
What is the difference between a Conditional and Unconditional offer?
- Conditional: The sale depends on clauses like "subject to finance approval" or "subject to a satisfactory building inspection".
- Unconditional: You are legally bound to buy the property as-is, with no safety nets if your bank rejects the loan application.
To give you the most accurate financial thresholds, grant amounts, and stamp duty rules, tell me:
- Which state or territory are you looking to buy in?
- Are you looking at a brand-new home, an established property, or vacant land?
- What is your estimated target property budget?
Victoria's Core Stamp Duty Rules
In Victoria, the state government provides specific support mechanisms for first-home buyers, particularly centered around stamp duty thresholds and grants.
The baseline support structure provided by the State Revenue Office (SRO) Victoria applies across the board, with exact savings dictated by your property type and final purchase price.
Regardless of whether you buy an established property, a brand-new home, or vacant land, the state’s first-home buyer duty exemption and concession tiers remain the same:
- Up to $600,000: Full Stamp Duty Exemption. You pay $0 in stamp duty. This saves you up to roughly $31,000 compared to a standard buyer or investor.
- $600,001 to $750,000: Concession Zone. You receive a discount on your stamp duty calculated on a sliding scale. The closer you get to $750,000, the smaller the discount becomes.
- $750,001 and above: The "Cliff Edge". The concession disappears completely. You will be required to pay the full, standard land transfer duty rate on the entire purchase price.
Tailoring to Your Property Type
Brand-New Homes or Off-the-Plan
- First Home Owner Grant (FHOG): If you are buying or building a brand-new home valued up to $750,000, you are eligible for a $10,000 lump-sum cash grant. This applies equally to metropolitan Melbourne and regional Victoria (the old $20,000 regional grant has ended).
- Off-the-Plan Advantage: When you buy a property before it is built, Victoria allows you to deduct the remaining construction costs from the contract price before calculating stamp duty. This means a first-home buyer can purchase an off-the-plan apartment for a contract price of $750,000, but if the "dutiable value" drops below $600,000 after construction costs are deducted, they pay $0 in stamp duty while still collecting the $10,000 FHOG.
(Note: A temporary expansion for investors and all buyers on strata subdivisions runs until 20 April 2027, but the standard first-home buyer framework continues beyond this date).
Established Properties
- Grants: You are not eligible for the $10,000 FHOG, as it is strictly limited to brand-new, never-occupied properties.
- Stamp Duty: You still get the complete stamp duty waiver up to $600,000 and the sliding concession up to $750,000.
Vacant Land
- Stamp Duty: Duty is assessed only on the land itself, completely excluding the value of your separate building contract. If the vacant lot costs less than $600,000, you pay no stamp duty on the land transfer.
- FHOG Integration: You can claim the $10,000 grant once the building contract is signed and construction begins, provided the combined cost of the land and the build stays under $750,000.
Federal Low-Deposit Support in Victoria
To avoid paying Lenders Mortgage Insurance (LMI) with a low deposit, you can apply for the federal government's 5% Deposit Scheme (administered via Housing Australia). If accepted, the government acts as a guarantor for the remaining 15%.
However, you must strictly align with Victoria's regional property price caps:
- Melbourne and Geelong postcodes: Maximum property price cap of $950,000.
- Rest of Regional Victoria: Maximum property price cap of $650,000.
NSW Core Stamp Duty Rules (FHBAS)
The First Home Buyers Assistance Scheme (FHBAS) applies to both new and established properties. The thresholds are:
- Up to $800,000: Full Stamp Duty Exemption. You pay $0 in stamp duty. This saves you up to roughly $31,000 in upfront costs.
- $800,001 to $1,000,000: Concession Zone. You pay a discounted stamp duty rate on a steeply sliding scale. For example, a home purchased at $850,000 incurs about $9,796 in duty, while a $990,000 home jumps sharply to roughly $37,227.
- Over $1,000,000: No Concession. You must pay the full, standard transfer duty amount.
Support by Property Type
Brand-New Homes & Off-the-Plan
- First Home Owner Grant (FHOG): If you are buying or building a brand-new home, you can get a $10,000 cash grant.
- The Price Trap: Unlike stamp duty, the FHOG has lower price limits. To get the $10,000, a newly built property or off-the-plan apartment cannot exceed $600,000. If you are doing a house-and-land package, the combined land and build contract cannot exceed $750,000.
- Stacking: If you buy a new home for $580,000, you pay $0 stamp duty and get the $10,000 cash grant.
Established Properties
- Grants: You are not eligible for the $10,000 FHOG.
- Stamp Duty: You still receive the full stamp duty exemption up to $800,000 and the sliding concession up to $1,000,000.
Vacant Land
- Stamp Duty: You pay $0 stamp duty if the land costs $350,000 or less. A sliding concession applies for land valued between $350,001 and $450,000.
- FHOG Integration: You can still get the $10,000 grant for your build as long as the total cost of the land plus your construction contract is under $750,000.
Federal Low-Deposit Support in NSW
If you apply for the federal government's 5% Deposit Scheme (omitting the need for LMI), the property price caps in NSW are quite generous to accommodate the Sydney market:
- Sydney and regional capital centres (including Newcastle and Wollongong): Maximum property price cap of $1,500,000.
- Rest of NSW: Maximum property price cap of $750,000.
- Note: As of recent updates, the federal scheme has removed strict income caps, focusing primarily on property price limits and first-home buyer status.
Living Requirements
To keep any of these grants or stamp duty concessions in NSW, you must move into the property within 12 months of settlement and live in it continuously for at least 12 months
Financial & Pricing Questions
What is the total 'out-the-door' price?
This is the actual bottom line. It includes the vehicle cost, mandatory government taxes, registration fees, and any dealer delivery charges. Dealerships must provide this figure to prevent hiding extra costs in a monthly payment calculation.
Are there any dealer fees I can remove?
Some fees (like state tax, title, and registration) are non-negotiable. However, documentation fees ("doc fees") are often highly negotiable or capped by law, while fees for "fabric protection," "vin etching," or "dealer prep" are entirely optional and should be declined.
What interest rate do I actually qualify for?
Dealerships often mark up the bank's wholesale interest rate (the buy rate) to make a profit on financing. Buyers should secure a pre-approval from their own bank or credit union first to force the dealer to match or beat it.
Used Car History & Condition Questions
Is there any outstanding finance on this car?
In Australia, if a car has money owing on it, the financier can legally repossess the vehicle, even after you buy it. Buyers check this by running a PPSR (Personal Property Securities Register) search using the car's VIN before handing over any money.
Can I take it to an independent mechanic for an inspection?
A reputable seller or dealer will always say yes. A mobile or third-party pre-purchase inspection costs a few hundred dollars but can uncover hidden accident damage, structural rust, or imminent mechanical failures.
Why are you selling the car? (Private Sellers)
Common answers include upgrading to a larger family car, downscaling, or getting a company vehicle. Buyers look for body language cues or inconsistencies that might suggest the seller is trying to dump a "lemon."
New Car & Dealership Questions
How long has this specific car been sitting on your lot?
Dealers pay interest (called floorplan fees) on cars that sit inventory. If a car has been on the lot for over 60 to 90 days, the dealership is highly motivated to sell it at a steep discount just to get rid of it.
What does the warranty actually cover?
A factory warranty covers manufacturing defects, but rarely wear-and-tear items (like brakes, tyres, and wipers). Buyers should ask if it includes capped-price servicing so maintenance costs are entirely predictable for the first few years.
Is a new model or facelift coming out soon?
If a manufacturer is about to release a refreshed version of the car, the current model on the showroom floor will instantly suffer higher depreciation. Buyers use this knowledge to demand a much larger discount.
Are you trying to script your answers to sell a specific car privately, or are you preparing to negotiate at a dealership? Let me know so I can give you exact word-for-word scripts.
Engine & Mechanical Questions
How many hours are on the engine, and what is considered high?
Jet ski lifespan is measured in hours, not kilometres. Under 50 hours is considered very low, 50 to 150 hours is average/healthy for a used ski, and over 200 hours is considered high. A well-maintained 4-stroke engine can last 300 to 500+ hours, but supercharged models require more frequent rebuilds (often every 100 hours).
Is it supercharged or naturally aspirated (non-turbo)?
Supercharged models offer incredible speed and acceleration (reaching 110+ km/h) but burn fuel rapidly and require costly supercharger rebuilds. Naturally aspirated models are highly reliable, offer great fuel economy, and are much cheaper to maintain, making them better for beginners or long-distance cruising.
Has it ever been used in saltwater, and how was it flushed?
Saltwater usage is fine if the owner was meticulous. A responsible seller should immediately say they flushed the engine with fresh water and a salt-dissolving solution (like Salt-Away) after every single ride, followed by spraying the engine bay with a corrosion inhibitor (like Lanox or WD-40).
Condition & Usage Questions
Can I see the service history and receipts?
This is the most critical document. Jet skis require servicing at least once a year or every 50 hours (whichever comes first). Buyers should look for receipts proving oil changes, spark plug replacements, pump bearing inspections, and wear ring replacements.
What is the condition of the hull, and are there any deep gouges?
Light surface scratches (scuffs) from beaching are normal. However, deep gouges that penetrate the gel coat or fiberglass/SMC layer are structural risks that can absorb water and lead to hull failure. Damage underneath the bow or near the intake grate should be inspected carefully.
Has the wear ring and impeller ever been replaced?
The impeller and wear ring act as the jet ski's transmission. If the ski has sucked up rocks, sticks, or sand, these components get damaged, causing "cavitation" (where the engine revs high but the ski doesn't accelerate properly). Replacing them costs a few hundred dollars.
Ownership & Practical Questions
Is the trailer included, and are the ski and trailer currently registered?
Jet skis are almost always sold with their trailer. Buyers need to check the registration expiry dates for both individual assets. In Australia, transferring registration requires separate paperwork for the PWC and the trailer.
Can we do a water test before I hand over the cash?
A serious buyer should always request a sea trial (water test). A jet ski engine can rev perfectly on a trailer using a garden hose, but hidden issues—like a failing supercharger, a damaged wear ring, or overheating—will only reveal themselves under a real load in open water.
Where has the jet ski been stored?
Skis stored indoors or in a garage under a proper breathable PWC cover hold their value best. Skis left outdoors under the harsh sun suffer from faded plastics, cracked seats, brittle rubber seals, and degraded wiring.
Are you looking to buy a brand new jet ski from a dealer, or are you inspecting a used one from a private seller? If you have a specific brand in mind like Sea-Doo, Yamaha WaveRunner, or Kawasaki Jet Ski, let me know so I can warn you about brand-specific things to look out for!
Caravan Questions
What is the exact Tare Weight, ATM, and Payload?
Tare is the empty weight of the van from the factory. ATM (Aggregate Trailer Mass) is the absolute maximum the caravan can legally weigh when fully loaded. Payload is the difference between the two—it tells the buyer how much water, gas, food, and luggage they can legally pack.
What is the Ball Weight (Tow Ball Mass)?
This is the weight the front of the caravan exerts down onto the tow vehicle’s hitch (typically 10% of the loaded caravan weight). Buyers must match this against their car’s maximum tow ball capacity to ensure the vehicle's rear suspension isn't dangerously overloaded.
Does it require a Electronic Brake Controller?
Any caravan with an ATM over 750 kg must have brakes fitted. If the caravan uses electric brakes (the most common type), the buyer's tow vehicle must have an electronic brake controller installed in the dashboard to safely operate them.
Structural & Condition Questions (Crucial for Used Caravans)
Caravans are prone to water damage and chassis fatigue. Buyers use these questions to spot hidden structural failures.
Has this caravan ever had any water leaks or water damage?
Water ingress is a caravan's worst enemy. Buyers will check inside cupboards, around the roof hatches, and under the lounge cushions for bubbling wall linings, musty smells, or soft timber. A responsible seller should welcome a professional damp-meter test.
How old are the tyres and when were the wheel bearings last serviced?
Caravan tyres often look brand new because they have plenty of tread, but they degrade from UV exposure. Tyres older than 5 to 7 years must be replaced regardless of tread depth. Wheel bearings and brakes should be serviced every 10,000 km or 12 months.
Is the chassis timber-framed, aluminium, or composite sandwich panel?
Traditional caravans use timber frames sheeted in aluminium. Modern vans increasingly use full composite sandwich panels or aluminium framing because they are lighter, offer better insulation, and cannot rot if water happens to leak inside.
Off-Grid & Internal Appliance Questions
Buyers want to know exactly how long they can camp away from caravan parks (free camping) before needing to plug into mains power and water.
What is the battery and solar setup?
Buyers want to know the total battery capacity (measured in Ah or Wh) and solar wattage. A modern off-grid van typically features Lithium (LiFePO4) batteries combined with an inverter to run high-draw appliances like microwaves, coffee machines, or air conditioning off the grid.
Is the fridge a 3-way or a 12V compressor model?
3-way fridges run on 12V (while driving), 240V (at caravan parks), or LPG gas (when free camping), making them highly versatile but less efficient in extreme heat. 12V compressor fridges cool incredibly fast in hot weather but rely entirely on a strong battery and solar setup.
What is the total fresh water and grey water capacity?
Buyers need to know how many litres of fresh water they can carry. Crucially, many National Parks and free camps now require a grey water tank to catch sink and shower water, so having one installed significantly increases a caravan's usability.
Are you asking because you are buying a caravan and want a checklist for inspections, or are you selling one and want to prepare your ad? Let me know if you are looking at a traditional highway caravan or an off-road hybrid pop-top so I can highlight specific issues to watch out for!
Personal Loan Questions
Q1: What is my actual interest rate, and is it fixed or variable?
The Answer: Your exact rate depends on your credit score, income, and whether the loan is secured (backed by an asset like a car) or unsecured.
- Fixed Rate: Your repayments stay exactly the same for the life of the loan.
- Variable Rate: Your rate can fluctuate with the market, meaning your repayments could go up or down.
Q2: What hidden fees or ongoing costs will I be charged?
The Answer: Beyond interest, you need to review the Comparison Rate, which reflects the true cost of the loan by factoring in standard fees. Common fees include:
- Establishment/Upfront Fee: A one-off charge to set up the loan (often $150–$300).
- Monthly Service Fee: An ongoing account maintenance fee (typically $5–$13).
- Late Payment Fee: Charged if you miss a scheduled repayment deadline.
Process and Eligibility Questions
Q3: Will checking my rate or applying affect my credit score?
The Answer: Requesting a personalised rate quote uses a "soft credit check" and will not affect your credit score. However, once you submit a formal application, the lender performs a "hard enquiry," which is recorded on your credit report and can temporarily impact your score.
Q4: How long does it take to get the money if I'm approved?
The Answer: Many digital lenders and major banks can provide a decision within 60 seconds to a few hours. Once formally approved and the contract is signed digitally, funds are often disbursed on the same day or the next business day.
Q5: Can I apply if I am self-employed or on casual shifts?
The Answer: Yes. Casual and self-employed clients can qualify, provided they demonstrate stable cash flow.
- Casual workers usually need to prove they have been with the same employer for at least 3 to 6 months.
- Self-employed clients must typically provide 1 to 2 years of tax returns or official business bank statements.
Loan Management Questions
Q6: Can I pay the loan off early, and is there an exit penalty?
The Answer: Most variable-rate personal loans allow you to make unlimited extra repayments and settle the debt early without penalties. However, fixed-rate loans often incur an early exit fee or break costs if you pay the balance off before the term ends.
Q7: What is a redraw facility, and can I use it on a personal loan?
The Answer: A redraw facility allows you to withdraw any extra money you have paid into your loan above the minimum required amount. This feature is predominantly available on variable-rate loans and provides an emergency cash safety net.
Q8: What happens if I experience financial hardship and can't pay?
The Answer: If you face sudden job loss, illness, or injury, you should immediately contact the lender's Financial Hardship team. Under responsible lending codes, they can work with you to temporarily pause repayments, extend the loan term, or reduce payment amounts until your situation stabilizes.
Comparing Loan Types at a Glance
| Feature | Secured Personal Loan | Unsecured Personal Loan |
|---|---|---|
| Collateral Required | Yes (e.g., a car under 7 years old) | No collateral needed |
| Interest Rates | Lower (lower risk to lender) | Higher (higher risk) |
| Borrowing Limits | Generally higher ($10,000 to $130,000+) | Generally lower ($2,000 to $50,000) |
| Best Used For | New/used cars, large assets | Debt consolidation, weddings, travel |
