Market Context

A Turning Point for First Home Buyers

These reforms are already reshaping the market for the first home buyer. Commonwealth Bank forecasts established property prices could be around 3% lower than they otherwise would have been, with reduced investor competition in the established home segment. For first home buyers — particularly younger Australians who have been priced out — this may represent the most significant affordability window in years.

Combined with the generous stamp duty concessions already available across NSW, QLD, VIC, and ACT, the timing has rarely been better to understand exactly what you’re entitled to. Regal Legal practises conveyancing in all four jurisdictions and is here to guide you through your options.

Universal Criteria

First Home Buyer Core Eligibility Requirements

While each state has its own scheme and thresholds, the following conditions apply broadly to every first home buyer across all four jurisdictions:

• ✓Must be an individual (not a company or trust), aged 18 or over
• ✓You and your spouse or de facto partner must not have previously owned residential property — exact scope varies by state
• ✓The property must be purchased as your principal place of residence (PPR)
• ✓You must move in within 12 months of settlement and live there continuously for the required period
• ✓At least one buyer must be an Australian citizen or permanent resident — Queensland is the exception, see below
• ✓The property value must fall within the applicable threshold for your state’s scheme

State-by-State Detail

First Home Buyer Concessions & Residency Requirements

Quick Reference

Residency Requirements — Side-by-Side Comparison

For Permanent Residents & New Migrants

Can I Claim If I’m Not Yet a Citizen?

This question comes up frequently among first home buyer applicants in our Chinese-speaking community, particularly those who recently arrived from Hong Kong, mainland China, or other countries. Here is what you need to know:

• 1If you hold a Permanent Resident visa, you generally satisfy the citizenship or PR requirement in NSW, VIC, and ACT — you do not need to wait for citizenship.
• 2If you previously owned property overseas (for example in Hong Kong), this may disqualify you — especially in Queensland, which tests prior ownership worldwide, not just in Australia.
• 3The ACT’s 5-year lookback test is more forgiving for buyers who owned property overseas but sold it more than 5 years before their ACT purchase.
• 4In VIC, if you are buying jointly with someone who is not a citizen or PR, an 8% Additional Foreign Purchaser Duty applies to that person’s share of the property.
• 5Temporary visa holders (e.g. subclass 482 or 457) generally do not qualify for first home buyer concessions in any of the four states.

Getting this right matters. Claiming a concession you are not entitled to — or failing to claim one you are — both have significant financial and legal consequences. Your conveyancer at Regal Legal will confirm your eligibility before you exchange contracts.

What This Means for You

Acting Before the Opportunity Closes

The negative gearing and CGT reforms announced in May 2026 are likely to cool investor demand in the established property market from 2027 onwards, with price softening already anticipated. Meanwhile, state stamp duty schemes remain generous — and in the ACT, from 1 July 2026, first home buyers will pay zero conveyance duty with no income cap at all.

If you are close to being eligible — whether the property price is just within range, or you recently sold overseas property and the ACT’s 5-year window is approaching — now is the time, as a first home buyer, to plan your purchase strategy with an experienced conveyancer who understands both the legal requirements and the cross-cultural dimensions of the transaction.