First Home Buyers Sydney

Name: Unconditional Finance Mortgage Brokers Sydney
Address: Level 2/140 William St, Woolloomooloo, NSW, 2011, AU
Telephone: 1300 484 390
Rating: 5.0

First Home Buyer Home Loan Made Easy for First-Time Buyers

Stepping into the Sydney property market? We guide first home buyers in Sydney through the loan options, ensuring a smooth journey to your first home.

Buying your first home is a big step, and with so many things to consider, such as saving for a deposit, understanding loans, and understanding government grants, it can feel overwhelming. Knowing your options and planning ahead can make the process much smoother.

Unconditional Finance will break down everything you need to know, from financial preparation to first-home buyer programs, so you can move forward with confidence. Ready to see how we can help make your first home a reality? Let’s get started!

Key Programs for First Home Buyers in Australia

Australia offers several programs designed to make buying your first home easier. If you’re a first-time buyer, these government initiatives can help you secure a First Home Buyer Home Loan with better financial support. Here are the top options to consider:

1. First Home Owner Grant (FHOG)

The First Home Owner Grant is specifically designed to help first-time home buyers in Australia. Think of it as a helping hand from the government, giving you that extra financial push toward your first home dream. But how does it work, and can you qualify?

To qualify, you must meet a few key eligibility requirements:

You must be purchasing your very first home, meaning you (and any co-owners) haven’t owned a residential property in Australia before. If you’ve ever been on the title of another property, you won’t qualify for this grant.
Eligibility is limited to Australian citizens and permanent residents. This applies to all applicants listed on the property’s title.
The FHOG is reserved for new homes, meaning the property has not been lived in or sold before. This includes newly built homes, off-the-plan purchases, and, in some cases, homes that have undergone substantial renovations.

The grant amount varies by state or territory, and each region has its own cap on property value. For example:

Queensland: Up to $15,000 for eligible new homes priced under $750,000.
Victoria: Up to $10,000 for metro areas and $20,000 for homes built in regional areas.
Western Australia: $10,000 for new homes or substantial renovations, with property price limits depending on location.

2. First Home Guarantee Scheme

The First Home Guarantee Scheme, also known as the First Home Loan Deposit Scheme (FHLDS), helps first-time buyers overcome the challenge of saving for a large deposit. Typically, lenders require a 20% deposit to avoid Lender’s Mortgage Insurance (LMI), an extra cost that can add thousands to your expenses. With the FHLDS, eligible first-time buyers can purchase a home with as little as 5% deposit without needing to pay LMI. To qualify, applicants need to meet specific income thresholds:

Single applicants: Must earn up to $125,000 per year.
Couples: Combined income must not exceed $200,000 annually, and both partners must be first-time buyers.

The scheme also sets maximum property price caps, which vary by state and location. For example:

Sydney: Property price cap of $700,000.
Regional NSW: Property price cap of $450,000.

This scheme applies to both new and existing homes, giving you more options. If you’re eligible, this can be a huge boost, helping you buy your first home sooner with a smaller deposit and greater financial flexibility.

3. First Home Super Saver (FHSS) Scheme

The First Home Super Saver Scheme is another great way to boost your deposit savings using your superannuation. Through this scheme, eligible buyers can make voluntary contributions to their super fund and later withdraw them to help with their home deposit. Since these contributions are taxed at a lower rate, this strategy allows you to save faster than with a regular savings account.

To qualify:

You must be over 18 years old and a first-time home buyer.
You can contribute up to $15,000 per year, with a total cap of $30,000.
Contributions can be made as pre-tax (salary sacrifice) or post-tax.

4. Stamp Duty Concessions and Exemptions

Stamp duty can be a major expense when buying a home, but many states and territories offer concessions and exemptions for first-time buyers.

Each state has its own rules, but here are a few examples:

Victoria: Full exemption for homes up to $600,000, with reduced rates up to $750,000.
New South Wales: Full exemption for homes up to $650,000, with concessions up to $800,000.
Queensland: First Home Concession rate applies to homes up to $550,000.

Your solicitor or conveyancer will help you claim these benefits during the settlement process, so be sure to mention you’re a first-time buyer to maximise your savings.

Curious about which programs you qualify for? Give us a call at 1300 484 390, and let’s explore the best options to make your first home more affordable!

Understanding Your Financial Position

Before you start house-hunting, it’s crucial to understand what you can afford. A clear financial picture helps set realistic expectations and makes the entire process feel more manageable. The first step is assessing your budget and savings. Most Australian home loans require a 5-10% deposit, though a larger deposit can lead to better loan terms. To gauge affordability, ask yourself: If I took out a loan today, could I comfortably manage the repayments alongside my other expenses? If the answer isn’t clear, it may be worth adjusting your savings plan before proceeding.

Next, it’s important to consider mortgage repayments. A Mortgage Calculator can help estimate your monthly costs based on factors like loan amount, interest rates, and loan term. Since interest rates fluctuate, comparing different scenarios, such as fixed vs. variable rates, can give you a better understanding of what suits your financial situation.

Beyond the loan itself, additional costs can add up quickly, often catching first-time buyers off guard. Stamp duty is one of the biggest expenses, but first-home buyers in some states may qualify for discounts or exemptions to lower the expense.

Other necessary expenses include legal fees and conveyancing, which ensure your purchase is legally secure, and building and pest inspections, which help uncover any hidden structural issues. Factoring these into your budget early on prevents financial surprises later.

Have questions about your budget? Reach out to us to get started on your home search with confidence!

Types of First Home Buyer Home Loan

With so many loan options, choosing the right one can feel overwhelming. Here’s a breakdown to help you decide:

Variable vs. Fixed Rate Loans

A variable rate loan means that your interest rate may change over time, which can impact your monthly payments. On the other hand, a fixed-rate loan locks in your rate for a set period, which provides stability in budgeting. Some first-home buyers choose a split loan, combining both fixed and variable features for a mix of predictability and flexibility.

Offset Accounts and Redraw Facilities

An offset account is a transaction account associated with your mortgage, and any money you keep in it reduces the amount of interest you’re charged. With a redraw facility, you can pay extra on your loan to reduce interest and still access those funds if needed later.

Low Deposit Loans

If your savings are modest, low-deposit loans could allow you to enter the market sooner. However, these usually come with the added cost of LMI. This insurance adds to your costs and protects the lender if you miss payments, so consider if it’s the right choice for you.

Loan Pre-Approval

Before you start viewing properties, consider getting a loan pre-approval. It shows sellers you’re serious and gives you a clear idea of your borrowing limit, which can save time and stress.

Wondering which loan is right for you? Let’s chat about your options and find the best fit for your first home!

Choosing a Location and Property Type

Finding the right home is not just about the building itself but also about the lifestyle and future it offers.

Finding the Best Suburbs and Neighbourhoods

Ask yourself: What lifestyle do I want? Proximity to work, schools, public transport, and amenities are essential considerations. Research different suburbs using online property profiles and recent sales reports to identify areas within your budget that suit your lifestyle.

Types of Properties

Each property type has unique benefits:

Apartments: Affordable and low-maintenance, ideal for those who want convenience and minimal upkeep.
Townhouses: They offer more space and privacy than apartments, often with small outdoor areas, balancing affordability with room to grow.
Standalone Homes: Provide the most space and customisation options, ideal for those planning for a family or seeking long-term investment.

Building vs. Buying an Existing Home

Building a new home might mean waiting longer and managing a construction project, but it allows for customisations. Alternatively, an established property offers immediacy and often includes mature landscaping and existing amenities.

Need help finding the right location and property type? Contact us for expert guidance!

Understanding the Property Market

The Australian property market is always evolving, and it’s normal to feel a bit nervous about timing your purchase.

Current Market Trends

Stay informed on market trends, including property values, interest rate expectations, and demand in different areas. This knowledge can help you make a strategic decision and even spot a bargain.

Engaging with Real Estate Agents

Agents are there to sell, so it’s okay to ask plenty of questions! Ask about property history, why the owner is selling, and any known issues with the property or area. This information can help you determine if the price is right or if there’s room to negotiate.

Understanding Property Inspections and Reports

A property inspection is an absolute must. It can reveal structural issues, pest infestations, or necessary repairs that could turn your dream home into a costly burden.

Feeling unsure about the property market? Reach out to us for expert insights and make your home-buying journey smoother and smarter!

Common First Home Buyer Mistakes to Avoid

Buying a home is a huge step, and it’s natural to feel a bit overwhelmed. Here are a few common missteps and tips on how to dodge them:

Overcommitting Financially

It’s easy to get swept up in the excitement and stretch your budget, but remember: life happens, and you’ll want some financial breathing room. Aim to keep your repayments to a comfortable amount, and don’t forget to plan for future rate changes.

Overlooking Additional Costs

Hidden costs like conveyancing, pest inspections, and home insurance can add up quickly. Plan for these within your budget so there are no surprises when settlement day arrives.

Skipping Pre-Approval

Pre-approval is like a green light from your lender, showing how much they’re likely to lend you. It’s wise to secure this before starting your search to give you a realistic budget and show sellers you’re serious.

Rushing the Process

It’s tempting to jump on the first “perfect” home but take your time. Get to know the market, view multiple properties, and ask plenty of questions. It’s a big decision, so don’t rush it.

In short, our goal is to make your first home-buying journey as smooth as possible, empowering you with the tools and insights needed to make informed, confident decisions. Whether it’s understanding grants schemes or simply planning smart, we’re here every step of the way.

Don’t let common missteps hold you back. Take the first step with confidence. We’re here to help you plan wisely and avoid the usual pitfalls on your way to owning your first home.

How to Get a First-Home Buyer Home Loan

Getting a first home buyer home loan may feel complex, but with the right steps, it can be a smooth process:

Check Your Eligibility

Start by seeing if you qualify for first-home buyer schemes like the First Home Guarantee. These can lower the deposit needed and eliminate Lenders’ Mortgage Insurance (LMI), saving you thousands.

Determine Your Budget

Evaluate your finances to see how much you can comfortably borrow and repay. This includes calculating your deposit, factoring in upfront costs, and estimating monthly repayments.

Get Pre-Approval

A pre-approval from a lender confirms how much you’re eligible to borrow, helping guide your home search within a realistic price range. This step is valuable for showing sellers you’re serious and ready to buy.

Research First Home Buyer Grants and Schemes

Look into options like the First Home Owner Grant, stamp duty concessions, and other programs available in your state. Combining grants with your loan can lower your overall cost.

Work with a Mortgage Broker

A broker can compare loan options, advise on eligibility, and simplify the application process. They’ll help you find a loan tailored to your needs and guide you through each step, from application to approval.

Submit Your Loan Application

Once you’ve chosen a lender and gathered the necessary documents, you can submit your application. Your broker or lender will work with you on this to ensure everything is complete and accurate.

Looking for expert guidance to get started? Our experienced mortgage brokers are here to simplify the process and answer all your questions.

Take the First Step Toward Homeownership

Owning your first home is achievable with the right preparation. Understanding your budget, exploring loan options, and making use of available grants can help you get there sooner. With good planning and smart choices, you can start your journey to owning a home with confidence.

Ready to take the next step? Let’s work together to turn your first home dream into a reality. Your future home is waiting, so let’s make it happen!

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Give Yourself A Head Start

At Unconditional Finance, we understand the challenges faced by the first home buyers in the competitive Sydney property market. With elevating real estate values it’s easy to feel overwhelmed. But we’re here to help you navigate through it all. Working with one of our Sydney’s mortgage brokers means gaining access to expert advice tailored to first home buyers. We’ll simplify the process, connecting you with experienced professionals who specialise in first home buyer loans and grants. Together, we’ll craft a solid strategy to turn your homeownership dreams into reality, ensuring you’re well-prepared for success.

FULLY LICENSED AND ACCREDITED

20+ YEARS EXPERIENCE

SYDNEY SPECIALISTS

WE WORK WITH 40+ LENDERS

Why us? We Do It All & Explain It Well

An added perk, we furnish our esteemed clients with an exhaustive property report curated by Corelogic RP Data, Australia’s leading property data provider. In addition, our associated legal professionals will provide a complimentary review of your initial contract of sale and the section 32 document!

1. Peace Of Mind, Clarity & Smooth Process

You, as a first home buyer in Sydney, deserve to know what you are putting into your deposit, and how you can steadily pay off your mortgage over time. We guide you through every single step of the process to make things as easy and simple as possible for you by removing all unnecessary confusion and complexity.

2. More Wealth For Better Options & Better Lifestyle

There are three ways to guarantee a smooth home-buying process and maximise your wealth: working with a mortgage broker for first home buyers who will save you time, diminish your debts and risk quickly, and steer clear of costly mistakes.

3. More Time Doing What You Love

Our superior customer service will make everything simple for you – no complex documents, giant stacks of paperwork, or lack of time to review your documents, including first-home buyer deposit requirements. Whether you’re checking up on your wealth-building investments or paying off your cherished home, our process is easy and effective.

First Home Buyer Grants Sydney

Are you aware of the backing available from both the federal and state government when you’re on the journey to purchase your first home? Gaining a clear understanding of which grants and incentives you’re entitled to is a crucial step you should take before embarking on your home ownership adventure. If you’re considering financing options, consulting with a refinancing mortgage broker can provide valuable insights tailored to your specific needs.

First Home Owner Grant (FHOG)

This one-off payment is only available if you buy a newly built home or if you build a brand-new home from scratch. The property can be a house, townhouse, apartment or unit – but it must be valued at $750,000 or less, and it must be new (never previously sold or occupied). The first homeowner’s grant is worth $10,000 for homes in Sydney and $20,000 for homes in regional Victoria.

Stamp Duty Exemption or Concession

This one-off home buyer duty exemption applies to homes valued at $600,000 or less (which is a massive saving of around $30,000). For homes valued between $600,001 and $750,000, a stamp duty concession applies instead (which is a discount on the land transfer duty you pay). To be eligible, the home must be a principal place of residence (PPR).

First Home Buyer Guarantee Scheme

Also known as the Pilot Shared Equity Scheme, the FHBG is designed for first-home buyers in Sydney buying an existing home (providing it’s a residential property). It allows buyers to secure a loan with as little as a 5% deposit without needing to pay Lenders Mortgage Insurance (LMI). What is this means to you? You save approximatley stagerring $20,000 in LMI. To be eligible, singles must have an annual income of $125,000 or less, while couples must have a combined household income of $200,000 or less. For FHBG scheme, applications lodged from 1/07/2023, the annual income assessment is based on the financial year 2021-2022.

I’m a permanent resident, Am I eligible for FHBG scheme?

Yes, you will beeligble for the sheme. What a lucky duck you’re! Formally the scheme was only eligible for Australian citizens. However, from 01/07/2023, the scheme is open for Australian permanent residence too.

Off-the-Plan Concession

If you’re buying an off-the-plan land and building package, you may be entitled to a concession on stamp duty. Buyers will only pay duty on the value of the property and construction at the time of the contract date. As construction generally won’t have started or been completed when a contract is entered into, buyers won’t have to pay as much in stamp duty. Other eligibility criteria apply, such as being a permanent resident of Australia. To view all criteria and apply, visit the State Revenue Office website. There are a couple of other schemes available, please contact us for more information. The team at Unconditional Finance, your reliable Sydney’s mortgage broker, can provide more information on each of the grants, exemptions, and concessions outlined above, as well as discuss the eligibility criteria in further detail. We can also help you to apply for all of the schemes that you are eligible for, ensuring that your savings are maximized during your first home purchase.

First Home Buyer Grants Sydney

First Home Owner Grant (FHOG)

Stamp Duty Exemption or Concession

First Home Buyer Guarantee Scheme

I’m a permanent resident, Am I eligible for FHBG scheme?

Off-the-Plan Concession

Ready To Buy Your First Home? Congratulations!

Unconditional Finance Is Here To Walk You Through The Process.

First Home Owners Loan Checklist

Considering the step towards homeownership in Sydney within the upcoming three months? Our indispensable checklist is tailored just for you:

Determine your budget. What is your maximum borrowing capacity, and what sort of price range should you be looking at properties in? How much can you afford in monthly repayments
Choose your suburb. Keep in mind that you’ll be living here for at least the next 5 to 10 years. If your ideal suburb is too highly priced, consider the surrounding suburbs – you’ll still be nearby.
Consider the property’s capital growth. Do you have any statistics or sales history for the area? Is your chosen mortgage broker able to provide you with this free service?
Consider bedroom and living space needs. How many bedrooms and living areas does a prospective property need to have? It might be nice to have two living areas, but you could get away with just one.

Decide whether to build or buy an established home. Also ensure that you understand the pros and cons of your choice (ie when building, you’ll have to wait months until you can move in).
If you’ve opted to buy off-the-plan, understand the pros and cons of this decision. Would this save you more money than buying an established home or contracting a custom builder
Understand your eligibility for first home buyer grants in Sydney. Be aware that different state governments have different requirements, so ensure that the information you have is relevant to Victoria.
When buying with a family member or friend, determine what each of your liabilities and responsibilities towards the mortgage will be. This is also a good idea if buying with a partner you are not married to.
Consult with a mortgage broker. Buying a home can be complicated, whether you’re doing it for the first time or the tenth time. Make an appointment with Unconditional Finance to discuss your options today.

Frequently Asked Questions:

Yes, the First Home Guarantee Scheme can be a big help when buying your dream home! Allowing eligible buyers to purchase with just a 5% deposit and avoid the cost of lenders' mortgage insurance (LMI) makes owning a home more accessible and achievable. It’s a great option for those who want to buy sooner without waiting years to save up a 20% deposit. Be sure to check eligibility and property price caps with a broker to see if it’s a good fit for your goals.

The First Home Guarantee is flexible when it comes to property types. Eligible buyers can purchase an existing house, apartment, townhouse, land and house package, or off-the-plan property. This is ideal for buyers who may not want to limit their choices to newly constructed homes only.

No, the First Home Guarantee requires that the property be owner-occupied. This means you must live in the home within a specified period after purchase, typically within six months, and it must remain your primary residence.

No, inheriting a property typically makes you ineligible for most first-home buyer grants, as they are designed for individuals who have not previously owned property in Australia. However, exceptions may exist depending on the specifics of each program.

For most first-home buyer schemes, you’re required to occupy the property within six months of settlement. Failing to meet this condition may result in penalties or losing eligibility for certain grants. Be sure to confirm specific timelines with your mortgage broker.

Start Your First Home Buying Journey Today

With more than a decade of experience in the local property market, the team at Unconditional Finance is well-placed to help the journey go as smoothly as possible for first-home buyers in Sydney. Whether you want to learn more about the first homeowners grant or the various schemes available, or you’ve found your dream property and are ready to start looking at home loans, you’ve come to the right place.

Ready To Buy Your First Home? Congratulations!

Unconditional Finance Is Here To Walk You Through The Process.

Our 3-step Process

No gimmicks or complex flowcharts. All of our clients go through a tried-and-true 3-step process that allows them to easily get approved for the loans they want in no time at all!

01

Apply Now

Enter your personal and property information to apply.

02

Get Approved

We will review your application in 2 business days.

03

Receive Funds

Funds can be transferred to your account in 3 days.

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Work With Award-Winning Mortgage Brokers

MFAA Endorsed

Basking in the glow of MFAA (Mortgage and Finance Association of Australia) approval, we stand tall as certified mortgage brokers right here in Sydney.

Fully Qualified

As Unconditional Finance's driving force and founder, Chris leverages his industry expertise and personal investment acumen. Aside from bagging numerous accolades, including recurrent Top 100 Broker mentions, Chris savours family time and sports when off-duty.

A Legacy Spanning Over Two Decades

We're proud of our rich tapestry of more than 20 years, throughout which we've aided countless clients in realising their financial dreams.

Award-Winning

Our mantle is laden with awards, as we've repeatedly been hailed as one of Sydney's top-tier mortgage brokers year after year.

Fully Licensed

Registered with ASIC and being fully licensed mortgage brokers, we're intimately acquainted with the industry's unique demands.

Centred On You

At Unconditional Finance, we place your aspirations and necessities at the heart of our operations. When you join hands with us, be assured your interests are our prime concern.