Unlocking First Home Buyer Support in Tasmania (TAS)
If you’re a first home buyer in Tasmania, you’ve got access to some great support for first home buyers, from full stamp duty exemptions to grants and low-deposit pathways.
But just because something’s available doesn’t mean it’s the right move for you long term.
In this guide, we’ll break down what support is currently available (as of October 2025), how each scheme works, and where strategy really matters. That includes:
Stamp duty support for established homes
The $10,000 First Home Owner Grant for new builds and off-the-plan homes
The First Home Guarantee Scheme (including October 2025 changes)
The MyHome Shared Equity Scheme
This resource supports Episode 15 of the First Home Unlocked Podcast, where Jack walks through each scheme and how it fits into your overall strategy.
Stamp Duty Concessions for First Home Buyers in TAS
Stamp duty is a one-off government tax based on your purchase price. Stamp duty is one of the biggest upfront costs for first home buyers, and Tasmania’s concessions can make a real difference.
What You Can Save
If you’re purchasing an established home under $750,000, you may be eligible for a full exemption from stamp duty, as long as settlement occurs before 30 June 2026
For example, if you purchase for $750,000: You pay no stamp duty as a first home buyer, saving around $29,000 compared to non-FHBs. At $800,000: You’re over the cap and pay the full rate around $31,000 in duty.
Eligibility Rules
To qualify for the full exemption on established homes in TAS, you must:
Buy in your own name (not through a company or trust)
Be at least 18 years old
Be an Australian citizen or permanent resident (or buying with someone who is)
You and your partner have never owned property in Australia
You haven’t previously received the FHOG or stamp-duty concession elsewhere
You intend to live in the home for at least six continuous months within the first year of ownership
Important
This exemption only applies to established homes, not new builds or vacant land.
Strategy Insight
Saving on stamp duty can free up cash for your deposit and moving costs, but the best strategy isn’t always about paying the least upfront.
If you’re compromising on location or asset quality just to stay under the $750K cap, it’s worth stepping back to ask:
Would buying slightly above the cap unlock a better-quality home in a better location that suits my life for longer?
A high-quality home can extend your runway, giving you more time before needing to upgrade and potentially saving you thousands in future moving costs.
As we explore in Episode 6: Unlocking Asset Quality, properties with stronger fundamentals can potentially grow in value faster, building equity you can later use to:
Upgrade your home
Purchase an investment property
Strengthen your financial security
If the right home happens to sit above the $750K threshold, paying the full stamp duty could still be a smart long-term investment.
You can find all the details and eligibility information on the First Home Buyers of Established Homes Duty Relief here
TAS First Home Owner Grant (FHOG)
Let’s move on to one of the key supports available for first home buyers in Tasmania, the First Home Owner Grant (FHOG).
If you’re buying or building a brand-new home, this grant can give your deposit a boost and help you get into the market sooner.
What Is It?
The FHOG is a $10,000 tax-free grant from the Tasmanian Government that supports eligible first home buyers who are purchasing or building a brand new or substantially renovated home.
This includes:
New builds (house and land packages)
Off-the-plan apartments or townhouses
Modular, kit, or moveable homes that are fixed to land
Substantially renovated homes where most of the original structure was replaced and the home hasn’t been lived in since completion
It’s important to note: this grant is not available for established homes that have already been lived in.
Eligibility
To qualify for the $10,000 First Home Owner Grant in Tasmania, you must:
Be buying or building a new home in your own name (not a company or trust)
Be 18 years or older
Be an Australian citizen or permanent resident, or buying with someone who is
Have never owned residential property anywhere in Australia (this includes your spouse or partner)
Live in the home as your main residence for at least six continuous months, starting within 12 months of completion
Ensure the building is completed within 24 months of signing the contract or laying foundations
You can only receive one $10,000 grant per property, not per applicant.
Extra Info to Keep in Mind
There’s no price cap for the FHOG in Tasmania as of October 2025.
You can’t use this grant alongside the stamp duty exemption for established homes if you’re eligible because the FHOG applies to new properties only.
The FHOG can also be used with the First Home Guarantee Scheme, allowing you to buy with just a 5% deposit and no Lenders Mortgage Insurance (LMI).
Strategy Tip
A $10,000 boost can be helpful — especially if you’re close to meeting your deposit goals — but as always, don’t let it drive your entire decision.
Just because a home is new or off-the-plan doesn’t mean it’s the right one for your long-term goals.
Before chasing the grant, ask yourself:
Is this home the right fit for my future lifestyle?
Is the location likely to grow in value?
Is there an oversupply of similar new homes in the area?
Would an established home, even without the grant, offer better livability or long-term performance?
Incentives like this are designed to encourage construction — not to guarantee quality or long-term growth.
If you’re unsure how to compare new versus established homes, or what truly makes a good long-term purchase, listen to Episode 6 – Unlocking Asset Quality.
It’ll help you think through land value, location, and long-term potential — not just short-term savings.
You can find all the details and eligibility information on the First Home Owner Grant here
First Home Guarantee (FHGS)
The First Home Guarantee Scheme (FHGS) is one of the most powerful supports available to help first home buyers purchase with a smaller deposit and no Lenders Mortgage Insurance (LMI), all while keeping full ownership of your home.
This is a federal government scheme run by Housing Australia. It allows you to buy with as little as a 5% deposit, while the government acts as guarantor for the remaining 15% of the 20% typically required by lenders.
That means:
You don’t pay LMI, which can often cost tens of thousands of dollars
You still access competitive interest rates
You keep 100% of the equity and future growth
We break this down in full in Episode 10 of the podcast, including how the scheme works, the pros and cons, and how to eventually remove the guarantee once your equity grows. It’s a must-listen if you’re considering using this option.
TAS Price Caps (2025–26)
To use the FHGS, the property you purchase must be under the price cap for your area. These caps are based on whether you’re buying in the capital city or elsewhere in the state — and they’ve just increased significantly as of 1 October 2025.
Here’s what applies in Tasmania:
Hobart
Now: $700,000 (up from $600,000)
Rest of Tasmania
Now: $550,000 (up from $450,000)
These higher caps will open the door to far more properties across the state, where the previous limits made it difficult for first home buyers to find suitable homes.
Also from 1 October 2025, the income caps were removed, which means more first home buyers will qualify for the scheme.
Strategy Tip
This scheme is one of the most effective ways to get into the market sooner, especially with rising property prices and living costs.
You get to:
Avoid LMI, potentially saving $10K–$30K+
Buy with just a 5% deposit instead of 20%
Own 100% of the property and all future equity
And now, with the higher price caps and income limits being removed, it’s becoming more accessible than ever. But as always, don’t just focus on getting in fast, make sure the property fits your long-term lifestyle and offers strong value.
If you’re not sure where to start, we can help you assess what’s possible and whether this scheme is the right fit for your goals. You can Book a Get to Know You Chat and together we can see how the scheme would look for your situation.
MyHome: Shared Equity Scheme (TAS)
There’s one more major support option available for first home buyers in Tasmania and it works a little differently from the others.
The MyHome Shared Equity Scheme helps eligible buyers enter the market with a smaller deposit and lower repayments by sharing ownership of the property with the Tasmanian Government through Homes Tasmania.
It’s designed to help more Tasmanians purchase their first home sooner, even if saving a full deposit or qualifying for a standard home loan has been challenging.
Key Features & Eligibility
Equity Contribution from the Government:
Up to 40% of the purchase price for new homes or house & land packages (capped at $300,000)
Up to 30% for existing homes (capped at $150,000)
Deposit Required:
As little as 2%, which could be just $15,000 on a $750,000 home
You can use the First Home Owner Grant (FHOG) toward your deposit
Property Price Cap:
Up to $750,000
Income and Asset Limits:
Must meet the program’s income and financial asset thresholds (unless exempt as a First Home Owner Grant recipient or Homes Tasmania tenant)
Other Requirements:
Must be 18 years or older
Be an Australian citizen or permanent resident living in Tasmania
Must live in the home as your principal place of residence
Not currently own any other real property
Available only through Bank of Us
How It Works
Under the MyHome scheme, Homes Tasmania becomes a co-owner of your property, contributing a share of the purchase price to help reduce your loan amount and monthly repayments.
You don’t pay interest or repayments on the government’s share, but you’ll need to buy back their share within 30 years either by refinancing or selling the home. When you sell or refinance, the government receives the same percentage of the property’s market value that they initially contributed.
Example:
If Homes Tasmania contributed 25% and your home increases from $500,000 to $600,000, their share rises from $125,000 to $150,000.
Strategy Insight
Shared equity schemes like MyHome can help some first home buyers get into the market sooner, especially if a traditional loan isn’t within reach right now. But it’s important to remember, shared ownership means shared control.
That means:
You can’t refinance or access equity until you’ve bought out the government’s share
You’re limited to one lender (Bank of Us) until you exit the scheme
Any property growth increases the amount you’ll need to repay later
While this can be a helpful short-term stepping stone, it’s not usually our first recommendation. If you’re eligible for the First Home Guarantee Scheme, that path often gives you more freedom, flexibility, and long-term ownership without giving up any future equity.
Our Advice
If you’re considering MyHome, chat with us first. We’ll help you explore your options, including whether shared equity or another pathway could help you buy smarter.
Sometimes all it takes is a small shift in strategy to unlock a better long-term outcome.
For a full breakdown of how shared equity schemes work across Australia, including the pros, cons, and who they suit best, listen to Episode 11: Unlocking Shared Equity Schemes.
Final Thoughts: Don’t Just Chase the Incentives
Tasmania offers a wide range of support from stamp duty exemptions and grants to low-deposit and shared equity options.
But the best outcomes come from aligning these incentives with a clear, strategic plan, one that fits your life stage, goals, and budget.
We’ll help you:
Compare your options and eligibility
Find the right structure and lender for your situation
Make sure you’re using TAS incentives without sacrificing long-term value
Listen to Episode 15 for the full breakdown or Book a Get to Know You Chat to map out your plan.
