How to Apply for the First Home Owner Grant for a New Home in NSW

How much is the First Home Owner Grant in NSW?

The NSW First Home Owner (New Homes) Grant is a $10,000 grant for eligible first home buyers purchasing or building a qualifying new home.

For a purchased new home, the total value must be less than $600,000. If you buy land and build a new home, the combined value of the land and dwelling must be less than $750,000.

The grant is for new homes. It is not a general grant for purchasing an established home.

What type of property can qualify?

Revenue NSW describes a new home as a home that has not previously been occupied or sold as a place of residence. The scheme can also cover qualifying substantially renovated homes and homes built to replace demolished premises when the statutory requirements are met.

The grant can therefore apply to different eligible transactions, including purchasing a newly constructed home, entering into a comprehensive home building contract or constructing a home as an owner-builder.

Who can apply for the NSW First Home Owner Grant?

You must apply as an individual rather than through a company or trust and generally must be at least 18 years old. At least one applicant must be an Australian citizen or permanent resident.

Revenue NSW also checks previous home ownership and whether an applicant or their spouse or de facto partner has previously received a first home owner grant. These rules can depend on the nature and timing of the earlier property interest, so applicants with previous ownership should check the detailed Revenue NSW criteria before relying on a simple first-home test.

How long do you have to live in the home?

For contracts to purchase or build a home signed on or after 1 July 2023, at least one eligible applicant must occupy the property as their principal place of residence for a continuous period of at least 12 months. Occupation must begin within 12 months after completion of the eligible transaction.

If your circumstances change and you cannot move in or remain in the home for the required period, contact Revenue NSW. Revenue NSW states that failure to comply can require repayment of the grant and penalties can apply in relevant circumstances.

What documents do you need?

The documents depend partly on how the home is being acquired or built. Revenue NSW and Service NSW identify the signed contract, proof of identity and supporting evidence for the relevant dwelling category as core application material.

Revenue NSW requires proof of identity across specified identity categories. For FHOG applications, Revenue NSW states that the proof-of-identity copies do not need to be certified.

When applying through an approved agent for a transaction on or after 1 July 2023, the current application is the First Home Owner Grant (New Homes) Application form OFH 002.

When should you apply through your bank or lender?

If you need the grant to be available for settlement or for the first drawdown or progress payment, Revenue NSW says you must lodge the application with the approved agent providing your finance. Banks and other approved financial institutions can process the application as part of the financing arrangements.

Your approved agent lodges the application after the required form and declaration have been completed.

Can you apply directly to Revenue NSW online?

Yes, in the circumstances specified by Revenue NSW. If you have already completed the purchase or construction process, you can lodge the application through the FHOG customer portal.

Revenue NSW requires the application and proof-of-identity documents and may request additional evidence depending on the transaction and circumstances.

What is the application deadline?

Revenue NSW states that applicants applying through Revenue NSW should lodge within 12 months of settlement or the completed construction date of the new home. If the application is lodged outside that period, Revenue NSW states that additional documents will be requested.

The official OFH 002 application form also states that applications must be lodged within 12 months of completion of the eligible transaction.

Is the First Home Owner Grant the same as the First Home Buyers Assistance Scheme?

No. They are separate NSW programs. The First Home Owner Grant provides a $10,000 payment for eligible new-home transactions. The First Home Buyers Assistance Scheme provides eligible first home buyers with an exemption or concession from transfer duty and can apply to new homes, existing homes and qualifying vacant land.

The transfer-duty scheme currently provides a full exemption for eligible residential property with a dutiable amount of $800,000 or less and a concessional rate above $800,000 and below $1 million. Those thresholds belong to the First Home Buyers Assistance Scheme, not the $10,000 FHOG.

Other help when buying your first home

The NSW grant can form only one part of the assistance available to a first home buyer. If you are planning how to fund the purchase, you may also want to understand how the First Home Super Saver Scheme works.

Depending on where you buy and the eligibility rules of the relevant program, you can also review Helpydo's guide to the Regional First Home Buyer Guarantee.

What happens after you receive the grant?

Receiving the grant does not end your obligations. You must satisfy the residence requirement and notify Revenue NSW if circumstances change in a way that prevents compliance.

Revenue NSW checks applications against information from other government agencies and businesses. False or misleading information can lead to penalties. If you disagree with an assessment or decision, Revenue NSW states that you can lodge an objection or request a reassessment within 60 days.