First home buyers Melbourne.
Victoria charges first home buyers no stamp duty up to $600K, adds a temporary off-the-plan concession on apartments and townhouses, and the federal 5% Deposit Scheme gets you in with 5 percent and no LMI. Stacked correctly, qualifying Melbourne first home buyers can get in with far less friction.
Four reasons VIC first-home schemes stack well.
Victoria's stamp duty exemption, off-the-plan concession and grant stack with the federal 5% Deposit Scheme for qualifying buyers.
Off-the-plan duty savings in Victoria
Until 20 April 2027, anyone buying an off-the-plan apartment, unit or townhouse in a strata subdivision can claim Victoria's temporary off-the-plan duty concession, with no price cap (source: State Revenue Office Victoria). It can cut duty substantially. The trap: some Melbourne off-the-plan apartments value below the contract price at completion. We model the saving AGAINST valuation risk.
VIC stamp duty exemption is property-specific
First home buyers pay no stamp duty up to $600,000 and a reduced amount from $600,001 to $750,000 (source: State Revenue Office Victoria). Above that, full duty (and VIC stamp duty above $1M is among Australia's highest). Where you buy in Melbourne determines whether you pay $0 duty or $55K+ duty on the same income.
The 5% Deposit Scheme stacks with the VIC exemption
The Australian Government 5% Deposit Scheme (5 percent deposit, no LMI) combines with the VIC stamp duty exemption for first home buyers. Combined: 5 percent deposit and zero stamp duty on eligible Melbourne purchases up to $600K, one of the lowest-friction entry paths in Australia for qualifying buyers.
Melbourne FHB price caps shape suburb choice
The 5% Deposit Scheme price cap for Melbourne and Geelong is $950,000 (source: Housing Australia). The VIC stamp duty exemption stops at $600K. Stay under $600K for the biggest benefit. That focuses you on Melbourne's west, north and outer south-east, the growth corridors. Inner ring is rarely accessible to first home schemes.
From renter to owner, four phases.
Position + scheme eligibility
Income, savings, deposit timeline, target Melbourne region. We map which VIC + federal schemes you qualify for.
Finance through a licensed broker
We refer you to a licensed broker in our network, who picks a lender that accepts your scheme and property type. EWC takes no commission on your loan.
Find the property
Buyers agent support optional. We ensure contracts include cooling-off, finance condition, building/pest rights.
Settle + 12-month review
Conveyancing, settlement, key handover. 12-month review as life stabilises.
Six schemes worth knowing.
Australian Government 5% Deposit Scheme
5% deposit with no lenders mortgage insurance. No income caps and unlimited places since 1 October 2025. Price cap $950,000 in Melbourne and Geelong, $650,000 in the rest of Victoria (source: Housing Australia).
VIC First Home Buyer stamp duty exemption
No duty up to $600,000 and a concession from $600,001 to $750,000, new or established. Live there for at least 12 months, starting within 12 months of settlement (source: State Revenue Office Victoria). Often the single biggest saving for Melbourne first home buyers.
VIC off-the-plan duty concession
A temporary concession for off-the-plan apartments, units and townhouses in a strata subdivision, open to all buyers with no price cap, for contracts signed up to 20 April 2027 (source: State Revenue Office Victoria). Valuation risk on completion is real, we model both sides.
First Home Owner Grant (VIC)
$10,000 for a new home that has never been sold or lived in, valued up to $750,000. Doesn't apply to established homes (source: State Revenue Office Victoria).
First Home Super Saver Scheme (FHSSS)
Release up to $50,000 of voluntary super contributions toward a deposit, counting up to $15,000 from any one year (source: ATO). Effective for PAYG salary sacrificers. Release takes about 3 to 4 weeks.
Family guarantor loan
Parent's property equity as additional security. Removes LMI, can let you in with 5% or zero deposit. Risk to family member is real.
Scheme details from the State Revenue Office Victoria, Housing Australia and the ATO, checked November 2026. Thresholds change periodically; we confirm current values at engagement.
What Melbourne first-buyers ask us most.
What's the cheapest way to buy a first home in Melbourne?
The 5% Deposit Scheme (5% deposit, no LMI) plus the VIC first home stamp duty exemption (up to $600K). On a $580K Melbourne purchase, that's as low as a $29K deposit plus about $3K in legal and inspection costs. For a new home up to $750K, the $10K VIC grant comes on top.
Should I buy off-the-plan in Melbourne for the stamp duty concession?
Maybe, but be cautious. The temporary off-the-plan concession (contracts up to 20 April 2027) can cut duty substantially, but Melbourne off-the-plan apartments have a poor track record of meeting valuation on completion (creating a settlement shortfall). We model the saving AGAINST valuation risk before recommending.
How does the 5% Deposit Scheme work with the VIC exemption?
They stack. The 5% Deposit Scheme handles the deposit and LMI side (5% deposit, no LMI). The VIC stamp duty exemption handles the duty side. Both apply if you're eligible for each and the property is under both caps ($950,000 for the scheme in Melbourne, $600,000 for no duty).
Is there an income cap on the 5% Deposit Scheme?
Not any more. Applications from 1 October 2025 are not tested against income caps, and places are unlimited (source: Housing Australia). Lenders still check that you can afford the repayments.
Can my first Melbourne home be an investment property?
It has to be your home first. The grant, the stamp duty concession and the 5% Deposit Scheme all expect you to move in, usually within a year, and to stay for a set period (6 to 12 months depending on the scheme); breaking that can mean paying the benefit back. After that, many buyers keep their first home as an investment when they upgrade.
How much do I need saved before approaching you?
Depends on price band. Under $600K, around $30K to $40K covers the 5% deposit and minor costs, with no stamp duty. From $600K to $750K you pay concessional duty, so closer to $50K to $70K. Above $750K, full duty applies, so significantly more.
Can my parents help with the deposit through a guarantor?
Yes. Parent's property equity used as additional security. Removes LMI, can let you in with 5% or zero deposit. Risk: their property is exposed if you default. We walk through guarantee period + exit timing before recommending.
What if I'm self-employed in Melbourne?
More restrictive but doable. Some lenders accept 1 year of full tax returns; standard is 2 years. BAS-based income (low-doc) works at higher rates. 5% Deposit Scheme lenders still need the usual income evidence, which can be challenging for some self-employed structures.
Pair with finance + acquisition.
Buy your first Melbourne home using every scheme you qualify for.
Book a 15-minute Melbourne FHB call. We will map scheme eligibility and tell you honestly when you're ready.