First Home Buyers Grant NSW

The First Home Owners Grant in Australia is designed to encourage and assist home ownership across the country, and for eligible borrowers it’s a great start to life as a property owner. 

From 1 January 2016, the NSW grant is a $10,000 First Home Owner Grant for new homes purchased for up to $750,000. You must live in the home you buy for at least 6 months in the first year of owning the property in order to receive the grant (unless you work in the Australian Defence Force).

You may also be eligible for an exemption from transfer duty if you buy a new home valued up to $550,000 and vacant land up to $350,000. You can also get a concession on the transfer duty for new homes valued between $550,000 and $650,000 or vacant land valued between $350,000 and $450,000. 

Deposit Bonds

A deposit bond, sometimes referred to as a deposit guarantee, is an insurance policy that acts as a guarantee to the vendor that the purchaser will pay the deposit at settlement. It allows a buyer to pay a deposit (up to 10% of the purchase price) using the deposit bond instead of using cash from their own accounts. No money actually changes hands until settlement. 

This is ideal for First home buyers, Upgraders and also Investors. Deposit bonds are also often used for ‘off the plan’ purchases; where a buyer is awaiting funds from an existing sale; or an investor with adequate equity but minimal liquidity.


  • Keeps your savings working hard earning interest until required at settlement (if applicable)
  • Move faster to secure your purchase as a regular cash deposit can take time to organise
  • Could help avoid costly bridging finance
  • Valid for both short and long-term loans
  • Can be used at auctions and private treaty exchange (subject to vendor acceptance in advance) 
  • Long term deposit bonds could last up to 4 years, which can be very useful in buying properties off the plan


  • Some vendors are reluctant to accept deposit bonds as they may intend to use a regular cash deposit to fund another purchase or payment
  • A contract of sale may stipulate cash deposits only, so it’s essential that potential buyers/bidders clarify this upfront
  • Fees and charges, conditions and eligibility criteria apply