Buying Your First Home in NSW: What You Need to Know

06/07/2026

Buying your first home is exciting but it’s also one of the biggest legal and financial commitments you’ll ever make. Between stamp duty concessions, contract conditions and settlement deadlines, there’s a lot happening behind the scenes before you get the keys.

As a licensed conveyancer, I work with first home buyers across NSW every day. Here’s what you need to know before you start house hunting.

Know What Financial Assistance You Can Access

Several NSW Government schemes can significantly reduce your upfront costs — and many buyers don’t realise how much they can access at once.

First Home Buyers Assistance Scheme (FHBAS) Eligible buyers pay no transfer duty (stamp duty) on new or existing homes valued up to $800,000, with a concessional rate applying on a sliding scale up to $1,000,000. For vacant land you intend to build on, there’s a full exemption up to $350,000 and a concessional rate up to $450,000. You do need to comply with the move in requirements.

First Home Owner Grant (FHOG) A one-off $10,000 payment for buyers purchasing or building a brand-new home, subject to price caps. This can be claimed alongside the FHBAS.

First Home Guarantee Some eligible buyers can purchase with as little as a 5% deposit without paying Lenders Mortgage Insurance (LMI).

Eligibility rules and thresholds do change, so we always confirm your exact entitlement against the current Revenue NSW criteria before you exchange, don’t rely on figures you’ve seen elsewhere or provided to you by someone else.

Don’t Sign a Contract until it’s Been Reviewed

In NSW, exchanging contracts is legally binding, subject only to a standard 5 business day cooling-off period, which can be shortened, waived, extended or may not apply at all (for example, at auction).

Before you commit to a property:

Have your contract of sale reviewed, including title, zoning and any special conditions
Check the Section 10.7 Planning Certificate for flood risk, bushfire risk and development controls
If buying a strata property, review the levies, sinking fund and by-laws
Understand your cooling-off rights and what deposit is at risk if you withdraw

Get advice before you make an offer, not after you’ve signed.

Sort Your Finance Early

Get finance pre-approval before you start bidding or making offers, so you know your genuine budget. A few things to keep in mind:

What Happens After You Exchange

Once contracts are exchanged, we take care of:

Property searches (title, council, water, planning) to check for surprises
Liaising with your bank on mortgage documents and settlement
Calculating adjustments for rates and strata levies
Coordinating electronic settlement via PEXA
Lodging your stamp duty exemption and FHOG applications

Settlement is typically 42 days after exchange, though this can be negotiated to suit your circumstances.

Common Mistakes First Home Buyers Make

Signing before getting legal advice, assuming the cooling-off period protects them
Underestimating total costs beyond the purchase price
Missing application deadlines for grants and concessions
Overlooking strata red flags, like an underfunded sinking fund
Exchanging without a finance condition, then finding their loan falls through

Talk to Us Before You Sign Anything

Buying your first home should feel exciting, not overwhelming. I work closely with first home buyers throughout NSW — from reviewing your contract before you make an offer, to managing your grant applications, to getting you safely to settlement.

If you’re planning to buy your first home, get in touch with our team early so we can help you move forward with confidence.