Understanding the First Home Owner Grant & Duty Concession in WA

31 May

Written By Emily Newman

First Home Owner Grant (FHOG)

What is it?
A $10,000 payment for eligible buyers purchasing or building a brand new home.

To qualify:

At least one applicant must be an Australian citizen or permanent resident.
All applicants must be 18 or over (or apply for an exemption).
You (and your partner/spouse) must not have owned residential property in Australia before, or received the grant previously.
The home must be new or substantially renovated, not established.
You must live in the home as your primary residence for at least 6 continuous months, starting within 12 months of settlement or completion.
The total value must be:
- Up to $750,000 (south of the 26th parallel, including Perth)
- Up to $1 million (north of the 26th parallel)

First Home Owner Rate of Duty (FHOR)

What is it?
A reduced rate of stamp duty for eligible first home buyers. You may pay no duty at all if the property value is under the threshold.

To qualify:

You must meet the same general eligibility as the FHOG, even if you’re buying an established home.
Applies to homes and vacant land.
Value caps vary depending on the location and contract date.

Home purchases:

No duty payable if the value is ≤ $500,000
Concessional duty for homes up to:
- $700,000 (Metropolitan or Peel)
- $750,000 (regional WA)

Vacant land:

No duty payable if the value is ≤ $350,000
Concessional duty applies up to $450,000

What’s the difference, and do you qualify for one or both?

If you're buying your first home in Western Australia, you may be eligible for two key government benefits: the First Home Owner Grant (FHOG) and the First Home Owner Rate of Duty (FHOR). While they’re often mentioned together, they are not the same thing.

What’s the difference?

FHOG is a one-off $10,000 payment to help first home buyers who are purchasing or building a new home.
FHOR is a stamp duty concession, which reduces or removes the transfer duty you’d normally pay when buying a home or vacant land, even if it’s an established home.

Can I get both?

Yes, if you’re buying or building a new home, and it meets the criteria above, you can apply for both the FHOG and the FHOR. If you’re buying an established home, you won’t qualify for the grant, but you may still be eligible for the duty concession.

Need help navigating your first home purchase?

At Express Property Settlements, we’re here to guide you through every step, from contracts and eligibility to settlement and beyond. If you're a first home buyer and not sure where to start, get in touch. We’re here to make the process smooth and stress-free.

For more information and updates on current grants, please refer to:
https://www.wa.gov.au/organisation/department-of-finance/fhog

Emily Newman