First-Time Home Buyer Incentives in South Australia (2025)

Owning your first home can feel out of reach, but in South Australia, there are more incentives available today than ever before.

Between state government grants, stamp duty concessions, low-deposit financing, and federal support schemes, first-time buyers are being offered a major leg up in 2025.

Below is a breakdown of the key opportunities available right now.

First Home Owner Grant (FHOG) – $15,000

The First Home Owner Grant is the most well-known incentive. In South Australia, eligible applicants can receive a tax-free one-off grant of up to $15,000 when buying or building a new residential property. This includes newly built homes, off-the-plan apartments, or even substantially renovated homes in certain cases.

One of the biggest changes introduced in 2024 is the removal of the property value cap. Previously, buyers had to ensure their purchase was below a set threshold. Now, for contracts signed after June 2024, the FHOG applies regardless of property price. That means whether you’re buying a $400,000 townhouse or a $900,000 new build, the grant remains available.

To qualify, you must:

• Be at least 18 years old.
• Be an Australian citizen, permanent resident, or eligible New Zealand citizen.
• Ensure neither you nor your spouse/domestic partner has previously owned residential property in Australia (with some exceptions for older contracts).
• Live in the home as your principal place of residence for at least six months within the first year of completion or settlement.

This grant is designed to give buyers an immediate cash injection to reduce upfront costs, whether that’s going toward the deposit, fees, or extras like furnishings.

Stamp Duty Abolition

Another game-changer is the abolition of stamp duty for first-home buyers of new homes and vacant land. Stamp duty has historically been one of the largest upfront expenses when buying a property, often costing tens of thousands of dollars.

Since June 2024, eligible first-home buyers in South Australia no longer need to pay stamp duty when purchasing or building a new property, no matter the price. This could save buyers up to $40,000–$50,000 depending on the property value.

This policy aims to accelerate housing affordability by cutting the largest non-deposit cost buyers face. Importantly, the exemption works alongside the FHOG — meaning buyers can access both at the same time for maximum savings.

HomeStart Finance – Low-Deposit and Shared Equity Loans

The state-owned lender HomeStart Finance provides alternative finance pathways tailored to first-time buyers, particularly those with smaller deposits or moderate incomes.
Options include:

• Low Deposit Loan: Buy with as little as a 2% deposit, far below the standard 10–20% required by most banks.
• Starter Loan: Borrow up to $10,000 interest-free to cover costs like fees, with no repayments required for seven years.
• Shared Equity Option: HomeStart takes an equity share in your property, reducing your loan size and monthly repayments.
• For many first-time buyers, these products provide flexibility and access to the market sooner without the pressure of saving a large deposit.

HomeSeeker SA

The HomeSeeker SA program provides eligible South Australians with access to affordable homes and land that are priced below market value. These properties are not listed on the open market and are reserved for:

• First-home buyers,
• SA Housing Trust tenants, and
• People within set income and asset limits.

The program’s goal is to create more affordable entry points into the housing market, especially for those who might otherwise be priced out.

Federal Government Support

In addition to South Australia’s state programs, first-time buyers also benefit from nationwide initiatives.

Home Guarantee Scheme (HGS)

The HGS allows eligible buyers to purchase with as little as a 5% deposit, while the federal government guarantees up to 15% of the property’s value. This removes the need for costly Lenders Mortgage Insurance (LMI). There are three main streams:

• First Home Guarantee,
• Regional First Home Buyer Guarantee, and
• Family Home Guarantee for single parents.

First Home Super Saver Scheme (FHSSS)

This scheme lets you make voluntary contributions to your superannuation and later withdraw them to fund your deposit. Because super contributions are taxed at a lower rate than regular income, the FHSSS can help you save faster and more efficiently.

Putting It All Together

When combined, these incentives can dramatically reduce the barriers to homeownership:
$15,000 FHOG to boost your savings.

• Stamp duty exemption, saving up to $50,000.
• Low-deposit financing through HomeStart, requiring as little as 2%.
• Affordable properties through HomeSeeker SA.
• Federal schemes to remove LMI costs and accelerate deposit savings.

For many first-time buyers, this package of support could shave years off the time it takes to get into the property market.

Conclusion

South Australia has become one of the most supportive states in Australia for first-time home buyers. Between direct cash grants, tax savings, flexible financing, and federal deposit schemes, the path to homeownership is more achievable than ever before.

If you’re considering buying your first home, now is the time to explore these incentives. Together, they could save you tens of thousands of dollars and help you take that all-important step into property ownership.