Buying your first home
First home buyer costs in Australia
Buying your first home is exciting and a little overwhelming - partly because the costs do not stop at the deposit. This guide walks through what you pay to buy, and what you keep paying once you own it.
We keep it plain-English. No jargon, no judgement.
What you pay to buy
Before you get the keys:
- Deposit - typically expressed as a percentage of the purchase price
- Stamp duty (transfer duty) - first-home buyers may be eligible for concessions or exemptions depending on the state and price
- Conveyancing and legal costs
- Building and pest inspections
- Lender fees and, if your deposit is under 20%, possibly Lenders Mortgage Insurance (LMI)
What you pay once you own it
After settlement, the recurring costs begin:
- Mortgage repayments (fortnightly or monthly)
- Council rates - quarterly
- Water and sewerage - quarterly or monthly
- Home and contents insurance
- Strata or owners corporation fees if you buy an apartment or townhouse
- Electricity, gas and internet - monthly
Planning your first year
The first year is where most first-home buyers get caught. Quarterly bills arrive in lumps, insurance renews once, and there is usually at least one unexpected repair.
A simple approach: convert every recurring cost to a weekly amount and set it aside. HOLD does this automatically, but even a rough manual estimate helps you sleep at night.
Government help to know about
Depending on your state you may be eligible for a First Home Owner Grant, stamp duty concessions or exemptions, or first-home buyer support schemes. Eligibility and amounts change, so check your state revenue office and the Australian Taxation Office for current rules before relying on anything.
Frequently asked questions
What costs come after buying a first home?
After settlement you will pay mortgage repayments, council rates, water, home insurance, utilities, and strata if applicable. There may also be moving and connection fees in the first weeks.
Do first home buyers pay stamp duty?
It depends on your state and the purchase price. Many states offer concessions or exemptions for eligible first-home buyers below certain price thresholds. Check your state revenue office for the current rules.
Last reviewed: 19 August 2026
