Feeling like owning your own home in Perth or regional WA is slipping out of reach? It’s understandable. Strong property price growth over the past year has certainly presented challenges for those saving hard for their first deposit. It can feel disheartening, but we’ve got fantastic news – you don’t have to go it alone!

Both the Western Australian State Government and the Federal Government offer a suite of valuable incentives specifically designed to give first home buyers (FHBs) a crucial helping hand onto the property ladder. Getting familiar with these schemes could be the key to unlocking the door to your own home sooner than you think.

Here at Holdsworth Real Estate, we want to empower you on your journey. Let’s break down the key support available right now (as of April 2025):

WA State Government Incentives: Your Local Boost

1. The First Home Owner Grant (FHOG)
   • What is it? A one-off payment of $10,000.
   • Who is it for? Eligible FHBs buying or building a brand new residential home.
   • Surprise Eligibility: You might also qualify if you purchase a home that has undergone substantial renovations before you buy it. The government has specific criteria for what constitutes ‘substantial’, so it’s worth investigating if you’re looking at newly renovated properties.
   • Key Condition: The property must be your principal place of residence.
2. First Home Buyer Assistance Account
   • What is it? An additional grant of up to $2,000.
   • What does it cover? Helps cover those often-overlooked incidental costs associated with buying, such as mortgage registration fees, settlement agent fees, valuation fees, and property inspection fees. Every bit helps!
3. Major Savings Alert! Updated Stamp Duty Relief
   • Big News: Since March 21, 2025, new, more generous stamp duty thresholds apply for FHBs in WA.
   • No Stamp Duty: If you buy a property valued under $500,000, you pay zero stamp duty. That’s a potential saving of up to $18,000 – a significant boost to your budget!
   • Concessional Rates: If your first home is valued between $500,001 and $700,000 (in Perth) or up to $750,000 (in regional WA), you’ll pay a reduced (concessional) rate of stamp duty, still offering substantial savings compared to non-FHBs.
4. Tackling the Deposit Hurdle: Keystart Home Loans
   • The Challenge: Saving the traditional 20% deposit can be the biggest hurdle. Getting loan approval from standard lenders can also be tough.
   • The Solution: Keystart is a WA Government initiative offering home loans tailored for FHBs.
   • Key Benefits:
     • Low Deposit: You might only need as little as a 2% deposit.
     • No LMI: Keystart loans don’t require costly Lenders Mortgage Insurance (LMI).
     • Lower Entry Costs: Designed to make getting started more accessible.
   • Eligibility (Check Current Figures!): Income and property price limits apply and are reviewed periodically by Keystart to align with market conditions. As of late 2024/early 2025, indicative limits were around $148,000 (singles) / $218,000 (couples/families) for income, and a property price cap around $730,000 (increased in Dec 2024). Crucially, always check the current limits directly with Keystart before applying.
   • Shared Ownership Option: Keystart also offers Shared Ownership loans if you want to reduce your mortgage size further, though different (lower) income and property price limits apply to this specific product.

Federal Government Schemes: Nationwide Support

The Federal Government also steps in with programs accessible across Australia, including WA:

1. Home Guarantee Scheme (HGS)
   • How it Works: Helps eligible buyers purchase a home sooner with a smaller deposit, without needing LMI. Housing Australia guarantees a significant portion of the home loan (up to 15% for the First Home Guarantee or Regional First Home Buyer Guarantee; up to 18% for the Family Home Guarantee).
   • The Benefit: The lender is protected by the guarantee, so you avoid paying LMI, saving you thousands upfront.
   • How to Access: Apply for a loan through a Participating Lender under the scheme.
   • Eligibility: Income and property price caps apply, and criteria vary slightly between the different guarantees (First Home, Regional, Family).
2. Help to Buy Program (Shared Equity)
   • What is it? A proposed federal shared equity scheme where the government would contribute towards the purchase price in exchange for a share (equity) in the property, reducing your initial loan amount and ongoing repayments.
   • Recent Updates: In March 2025, the government announced intended increases to the income and property price caps for this program.
   • Key Differences (vs Keystart – based on announcement): The proposed property price cap is higher than Keystart’s in metro Perth but lower in regional WA. Proposed income caps are lower than Keystart’s for both individuals and joint applicants.
   • Important Note: A start date for the Help to Buy Program has not yet been announced as of April 2025. Keep an eye out for updates.

Putting It All Together: Your Next Steps

Navigating these incentives can seem like a lot, but the potential benefits are enormous. Taking the time to research which grants, concessions, or loan schemes you might be eligible for could significantly fast-track your path to homeownership.

• Do your homework: Check the specific eligibility criteria for each scheme directly on the relevant government websites (Revenue WA, Keystart, Housing Australia).
• Get Pre-Approved: Talk to a mortgage broker or lender (including Keystart or HGS Participating Lenders) early to understand your borrowing capacity.
• Start Your Search: Knowing what financial assistance you can access helps define your budget and property search criteria.

Ready to Start Your First Home Journey? We Can Help!

Understanding which properties meet the criteria for the FHOG (new or substantially renovated) or fall within the various scheme price caps is where local market knowledge becomes invaluable.

The team at Holdsworth Real Estate lives and breathes Perth property. We can help you identify suitable homes that align with your budget and potential incentive eligibility, guiding you through the often-complex buying process.

Contact us today for a friendly, no-obligation chat about your first home aspirations and let’s explore how we can help make your dream a reality!