Can you buy an investment property and still be eligible for the FHOG?

If you buy an investment property, are you still eligible for the First Home Owner Grant? Well, this depends on where you live.

Can you get an investment property and still get the FHOGThe First Home Owner Grant (FHOG) makes it easier for first-time homeowners to buy or build a home. Introduced in 2000, it was designed to counter the detrimental effect of the goods and services tax (GST) on buying or building a home.

The grant is offered as a lump-sum payment to first home buyers who buy or build a residential property and then live in it. The amount you receive from the FHOG and whether or not you are eligible for the grant varies between states and territories, but you can never receive a grant if you’ve already received one elsewhere in Australia.

The FHOG is only available for the purchase of owner-occupied properties, not investment properties. So if you decide to buy an investment property first and then later decide to buy your first home, will you still be eligible for the grant on the latter purchase?

To find the answer, you’ll need to look at the grant regulations specific to where you live.

For more information about eligibility for the First Home Owner Grant, contact the revenue office in your state or territory, and read our guide on the grant.

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Rates last updated September 20th, 2018
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Name Product Interest Rate (p.a.) Comp Rate^ (p.a.) Application Fee Ongoing Fees Max LVR Monthly Payment Short Description
3.89%
4.24%
$0
$0 p.a.
80%
Fix your rate and minimise repayments for 2 years with this interest-only investor mortgage.
3.99%
3.99%
$0
$0 p.a.
80%
Get a discounted, low-fee investor loan from a convenient online lender. 20% deposit required.
3.99%
4.13%
$0
$10 monthly ($120 p.a.)
80%
A competitive variable rate home loan with no application fee.
3.84%
3.91%
$0
$0 p.a.
80%
Get instant online approval and flexible repayment options with this fixed rate mortgage for investing.
3.93%
3.94%
$0
$0 p.a.
80%
This investment loan keeps fees low, has a sharp interest rate and comes with a 100% offset account.
4.05%
4.22%
$0
$10 monthly ($120 p.a.)
90%
Lock in your interest rate on your investment property for 2 years. For a limited time you can earn double Velocity Frequent Flyer Points.
3.91%
3.92%
$0
$0 p.a.
80%
Investors can go from application to approval in as little as 20 minutes with this innovative online lender.
3.98%
3.98%
$0
$0 p.a.
70%
Requires a 30% deposit
Investors can get a 100% offset account and a low rate if they have a big deposit. 100% online application process.
4.09%
4.87%
$0
$395 p.a.
90%
Buy your investment property and set your repayments for the first year. Available in QLD, NSW and ACT only.
4.24%
4.00%
$0
$0 p.a.
80%
Buy an investment property and enjoy the certainty of a 3-year fixed rate with interest-only payments.
4.09%
4.40%
$0
$0 p.a.
70%
Forget about rate rises for two years and minimise your investment repayments with this interest only mortgage. Requires a 30% deposit.
4.54%
4.56%
$0
$0 p.a.
80%
An investment loan for new Heritage Bank customers. Low fees and interest-only repayments.
3.97%
3.99%
$0
$0 p.a.
80%
Package your owner occupied loan with investment loan and receive a discounted investment rate. 100% offset account included.
3.99%
4.62%
$395
$0 p.a.
80%
Investors can enjoy flexible repayments and an easy application process with this pioneering online lender.
4.29%
4.31%
$0
$0 p.a.
80%
Investors will pay no application or ongoing fees for this interest-only loan.
4.18%
4.18%
$0
$0 p.a.
80%
Competitive investment mortgage
Investors get a 100% offset account and pay no application or ongoing fees on this loan from an innovative online lender.
4.90%
4.31%
$0
$0 p.a.
80%
Lock in a fixed rate for 5 years and make interest-only payments with this investment loan.
3.99%
3.99%
$0
$0 p.a.
70%
Investors with a 30% deposit can get this low rate loan to fund their property portfolio.
4.29%
4.31%
$0
$0 p.a.
80%
A simple, variable rate investor loan from an online lender that keeps fees to a minimum.
3.99%
4.62%
$395
$0 p.a.
80%
Investors can enjoy flexible repayments and an easy application process with this pioneering online lender.
4.24%
4.68%
$0
$0 p.a.
90%
Fix your investment repayments for 1 year. You can get this loan with a 10% deposit. Available in QLD, NSW and ACT only.
4.13%
4.14%
$0
$0 p.a.
90%
Access a fee-free offset account and a special interest rate for investors.
4.14%
3.96%
$0
$0 p.a.
80%
Investors can go from application to full approval in as little as 20 minutes with this innovative online lender.
4.18%
4.19%
$0
$0 p.a.
80%
Investors can easily access their equity using BPAY, a debit Master Card or cheque book with this interest-only line of credit.
4.31%
3.95%
$0
$0 p.a.
80%
A variable interest-only loan for investors. Fast application, low fees, optional offset account. 100% online lender.
4.29%
4.27%
$0
$198 p.a.
70%
Fund your property portfolio with this fixed rate mortgage which includes a 100% offset account. 30% deposit required.
3.94%
3.92%
$0
$0 p.a.
80%
Lock in your interest rate for 2 years and enjoy flexibility, an optional offset account and a fast online application process.

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44 Responses

  1. Default Gravatar
    cjSeptember 12, 2018

    I have owned an investment property in NSW for 4years as it has only been an investment property and I have never lived in it. Am I still eligible for the first home owners grant in NSW if my new property is for me to live in as an owner occupier?

    • finder Customer Care
      JhezelynSeptember 14, 2018Staff

      Hello CJ,

      Thank you for your comment.

      Please note that the eligibility for FHOG may vary per state. The FHOG is only available for the purchase of owner-occupied properties, not investment properties. So, if you have owned an investment property before, you may still be eligible for the grant.

      You may want to check our guide to the First Home Owner Grant in NSW. To apply, please go through the NSW Office of State Revenue.

      Should you wish to have real-time answers to your questions, try our chat box on the lower right corner of our page.

      Regards,
      Jhezelyn

  2. Default Gravatar
    HARISHMay 14, 2018

    Hi,

    We had purchased a property in 2012. We lived in for about 2 -3 years and then moved interstate. Since then we have been renting and have lease out the property. We have been paying investment property interest rates. My question is, If we are to buy another Owner occupied property, are we eligible for FHOG and Stamp duty exemption?

    Thanks

    • finder Customer Care
      NikkiMay 15, 2018Staff

      Hi Harish.

      Thanks for your message and for visiting finder – the leading comparison website & general information service built to give you advice in your buying decision needs. How are you doing today?

      The amount you receive from the FHOG and whether or not you are eligible for the grant varies between states and territories, but you can never receive a grant if you’ve already received one elsewhere in Australia.

      For more information, you may view this page on state-by-state guide to the First Home Owners Grant.

      Hope this was helpful. Don’t hesitate to message us back if you have more questions.

      Cheers,
      Nikki

  3. Default Gravatar
    BBMay 1, 2018

    I am buying property cost $799k in Victoria and I would like to buy another property around $600k within 6 months. so, if i buy 2nd property in less than six months, i will eligible for FHOG and stamp duty exemption for 2nd property?

    • finder Customer Care
      JoshuaMay 3, 2018Staff

      Hi BB,

      Thanks for getting in touch with finder. I hope all is well for you today.

      Please understand that the FHOG is generally made for first-time home buyers. So, in your case, if you have already bought a residential property, then it is most likely that you won’t be eligible for FHOG. In terms of stamp duty, it also depends on where you reside or where you buy the property. The amount of stamp duty you pay is determined by the state or territory that you live in, the amount you pay for the home and the type of property that you are buying. Depending on your personal circumstances you may qualify for an exemption on stamp duty. You can go to this page to know more about stamp duty.

      I hope this helps. Should you have further questions, please don’t hesitate to reach us out again.

      Have a wonderful day!

      Cheers,
      Joshua

  4. Default Gravatar
    DaneApril 16, 2018

    Hi,

    I am wondering if I buy an investment property will I still be eligible for the FHOG at a later stage?

    Thank you,
    Dane.

    • finder Customer Care
      NikkiApril 16, 2018Staff

      Hi Dane,

      Thanks for your message and for visiting finder – the leading comparison website & general information service built to give you advice in your buying decision needs. How are you doing today?

      The approval would depend on the place of your investment property. You can check and browse the states above if the location of your investment property grants FHOG.

      Hope this helps! Feel free to message us anytime should you have further questions.

      Cheers,
      Nikki

  5. Default Gravatar
    NatalieApril 14, 2018

    Hi there,

    I have met pretty much all requirements for the FHOG in Victoria, but was wondering whether something like buying from my parents would affect my eligibility? We plan to do everything the right way and follow process, but was just wondering if this would be cause for revocation of the FHOG at all.

    Thank you,

    Natalie

    • finder Customer Care
      MayApril 23, 2018Staff

      Hi Natalie,

      Thanks for getting in touch with finder.

      In Victoria, you can still acquire the FHOG benefits if you will buy an “established home” (of your parents). But you must strictly meet all the eligibility requirements. From the website of Victoria’s state revenue office, a “new home” includes:

      1. A newly built home,
      2. An existing property which is being sold for the first time as a new residential premises,
      3. A land and building package, or
      4. Vacant land on which you will build a new home

      You’d be best to contact your local government to confirm your eligibility.

      Cheers,
      May

  6. Default Gravatar
    JoshFebruary 21, 2018

    I live in Victoria and recently bought a home. Before I move in can I rent it out for say 6-10 months and then move in and still be entitled to FHOG?
    Because I’ve heard that I can buy a house (have a mortgage not investment loan), rent it out and as long as I move in within 12 months of settlement I will still be able to receive FHOG.

    • finder Customer Care
      AshMarch 3, 2018Staff

      Hi Josh,

      Thank you for reaching out to us.

      Yes, you can still be eligible for the First Home Owner Grant (FHOG) in Victoria as long as you do not reside in the Investment Property for 6 consecutive months.

      After renting the property out, you must reside in it for 1 year and make it as your Primary Permanent Residence within 12 months that the house has been constructed.

      You may refer to this page for more detailed information regarding the FHOG per state.

      I hope this helps.

      Please do not hesitate to reach out to us again if you have additional questions.

      Cheers,
      Ash

  7. Default Gravatar
    rizOctober 30, 2017

    I have investment property in nsw& planning to sell that property & buy new property in nsw.
    so could u pls tel me I am eligible for first home garand / stamp duty benifite
    thank u

    • finder Customer Care
      JoanneOctober 30, 2017Staff

      Hi Riz,

      Thanks for reaching out.
      You may visit this guide to the First Home Owner Grant in NSW.
      Generally, this is the list of among other criteria that you need to satisfy in order to qualify:
      *Each applicant is a natural person (e.g. not a company)
      *At least one applicant is a permanent resident or an Australian citizen
      *Each applicant must be aged 18 years or older
      *All applicants have not owned a residential property in Australia before July 2000
      *All applicants have not previously owned a residential property for a continuous period of at least six months
      *All applicants have not previously received a grant under the First Home Owner Grant Act 2000 in any state or territory
      *At least one applicant will occupy the home as their principal place of residence for a continuous period of 6 months

      Furthermore, should you want to know if you’re eligible for the FHOG, please visit the NSW State Office of Revenue and review the eligibility requirements for the scheme you’d like to apply for.

      Cheers,
      Joanne

  8. Default Gravatar
    MelissaOctober 23, 2017

    I have an investment property in Victoria and now I wish to buy a principal place of residence price is $550,000. Can I get FHOG?

    • finder Customer Care
      ArnoldOctober 24, 2017Staff

      Hi Melissa,

      Thanks for your inquiry

      The page above states

      Victoria’s State Revenue Office is responsible for offering the $10,000 grant to applicants buying or building their first new home. To be eligible for the grant, you must not have:

      – Received a First Home Owner Grant in Australia
      – Owned a home in Australia, either jointly or separately, prior to 1 July 2000
      – Occupied an Australian home in which either of you acquired a relevant interest on or after 1 July 2000 for at least six continuous months

      So if you purchased your investment property on or after 1 July 2000 and you didn’t live in it for a period of six consecutive months, you may be eligible for the FHOG. Please check the eligibility criteria for more information.

      Hope this information helps

      Cheers,
      Arnold

  9. Default Gravatar
    GinaOctober 9, 2017

    Hi,

    I live in NSW and have a investment property in qld in which i purchased 2 years ago i have never lived in this property and it is purely for investment purposes only. I have never claimed the grant before and
    I am now purchasing my first home to live in permantly am i still able to get the first home owners grant ?

    • finder Customer Care
      JudithOctober 10, 2017Staff

      Hi Gina,

      Thanks for contacting finder, a comparison website and general information service.

      Whether or not you are eligible for the grant varies between states and territories. First, you have to consider in which state/territory you are purchasing.

      Please be guided accordingly on the following:

      If you are purchasing a home in Queensland, you may not qualify for the Great Start Grant because you have previously purchased an investment property anywhere in AU.

      If you are purchasing a home in NSW, you may be eligible for the First Home Owner Grant if you’ve only had a relevant interest in any residential property in Australia on or after 1 July 2000, if you never resided in that property for at least six continuous months and if you’ve never claimed the grant.

      I hope this helps.

      Regards,
      Judith

    • Default Gravatar
      GinaOctober 10, 2017

      Thank you Judith, this helps a lot!

      Do you have the criteria which determines whether I may or may not be eligible in NSW or could you point me the right direction in to where I may find this criteria ?

      Thank you.

    • Default Gravatar
      JonathanOctober 11, 2017

      Hello Gina,

      Thank you for your inquiry, glad our previous response was helpful. :-)

      To qualify for the First Home Owner Grant, you must meet the following eligibility criteria:

      – Each applicant is a natural person and not a company or trust.

      – At least one applicant is a permanent resident or Australian citizen.

      – Each applicant must be at least 18 years of age.

      – All applicants and/or their spouse/de facto have not owned a residential property, jointly, separately or with some other person, in any State or Territory of Australia before July 2000.

      – All applicants and/or their spouse/de facto have not previously owned a residential property jointly, separately or with some other person in any State or Territory of Australia, and occupied that property for a continuous period of at least six months.

      – Each applicant has entered into a contract for the purchase of a home or signed a contract to build a home on or after 1 July 2000. In the case of an owner-builder, laying of the foundations commenced on or after 1 July 2000.

      – The total value of the property does not exceed the cap amount for eligible transactions which commenced on or after 1 January 2010. The cap amount is reviewed annually and the cap applicable to your application is determined by the commencement date of the eligible transaction. This is the date of the contract to purchase or build a home or, for an owner builder, the date the laying of foundations commenced.

      – This is the first time an applicant and/or their spouse/de facto will receive a grant under the First Home Owner Grant Act 2000 in any State or Territory (unless subsequently repaid).

      – At least one applicant will occupy the home as their principal place of residence for a continuous period of 6 months, commencing within 12 months of settlement or construction of the home. Where an applicant was a member of the permanent forces of the Australian Defence Force and all applicants were enrolled on the NSW electoral roll, as at the commencement date of the eligible transaction, dated on or after 21 October 2009, then all applicants are exempt from the residence requirement

      Let us know if you have further questions.

      Cheers,
      Jonathan

  10. Default Gravatar
    WayneSeptember 14, 2017

    Hi we purchased an investment property unit in 1998, purely for investment purposes we never lived in it and sold it around 2000, we are about to purchase a house in NSW after living in New Zealand for last six years, are we in titled to any concessions on stamp duty

    • finder Customer Care
      MaySeptember 14, 2017Staff

      Hi Wayne,

      Thank you for your inquiry.

      Just to confirm, would this be your first time to purchase a residential property? If so, in NSW, you may be eligible for a stamp duty exemption or concession if you qualify for the First Home Buyers Assistance Scheme under the FHOG. Moreover, you can be eligible for the FHOG in NSW if:

      1. You’ve only had a relevant interest in any residential property in Australia on or after 1 July 2000
      2. You never resided in that property for at least six continuous months and
      3. You’ve never claimed the grant

      For your reference, you can find a simplified guide to stamp duty in NSW on this page.

      Hope this helps.

      Cheers,
      May

    • Default Gravatar
      WayneSeptember 14, 2017

      Hi we have owned a property in NSW which was purchased after 2000 we resided in it for around ten years, but never claimed a first home owners grant when purchasing the property, again the investment property was purely investment purchased in 1998 all capital gains and taxes were paid

    • finder Customer Care
      MaySeptember 15, 2017Staff

      Hi Wayne,

      Thanks for getting back.

      If you think you’ve met all the eligibility criteria I’ve mentioned in the previous reply, you may be able to get stamp duty exemption or concession. The First Home Owner Grant in NSW is managed by the Office of State Revenue (OSR) so it would be best to contact them directly to discuss your eligibility. You can also so check their official website to get more details on FHOG in NSW.

      Cheers,
      May

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