Tasmania's First Home Owner Grant is $30,000 — but only until 30 June 2026. That's 32 days from the time of writing. From 1 July 2026, the grant drops to $20,000. If you're a first home buyer building a new home in Tasmania, the difference between acting now and waiting is $10,000. Here's everything you need to know to act before the deadline.

What Is the First Home Owner Grant?

The First Home Owner Grant (FHOG) is a one-off payment from the Tasmanian State Government to eligible people buying or building their first home. It was introduced as a national scheme in 2000 to help first home buyers enter the market, and each state and territory administers its own version — with its own amount and eligibility rules.

In Tasmania, the FHOG has been boosted to $30,000 for contracts signed between 1 July 2025 and 30 June 2026. This boosted rate was introduced to support housing construction and help first home buyers manage rising build costs. From 1 July 2026, the Tasmanian Government's 2026–27 State Budget has confirmed the grant will continue at $20,000 — a deliberate step down from the boosted $30,000 rate, but significantly better than the $10,000 standard rate that would have otherwise applied.

The bottom line: sign your build contract by 30 June 2026 and you'll receive $30,000. Sign from 1 July 2026, and the grant is $20,000. The deadline is real and the difference is $10,000.

The $30K Window: What the Deadline Means

Tasmania's boosted $30,000 grant applies to eligible transactions where the contract is signed on or before 30 June 2026. For a new build, this means the building contract — not the land contract — must be signed and dated by that date.

If you're already working with a builder and in the design or contract phase, the path to meeting this deadline is straightforward. If you're earlier in the process — searching for land, comparing builders, or just starting to think seriously about building — the 30 June deadline is tight but potentially achievable if you move quickly.

The Tasmanian Premier's office published a piece in May 2026 under the headline "First home builders building their dreams" — a government signal of ongoing support for this cohort. Missing the $30K window doesn't close the door; the $20,000 grant from July 1 is still a meaningful contribution. But $10,000 is $10,000. It's worth understanding where you sit against this deadline.

Am I Eligible?

The FHOG eligibility requirements are consistent across both the $30,000 and $20,000 rates. To qualify, you must meet all of the following criteria:

• You are at least 18 years old
• You are an Australian citizen or permanent resident (at least one applicant must hold citizenship or permanent residency)
• Neither you nor your spouse/partner has previously owned residential property in Australia
• Your application relates to a new home — one that has not previously been sold or occupied as a principal place of residence
• You will move into the property within 12 months of settlement or completion, and live there for at least 6 continuous months

Both partners in a couple must meet the residency and prior ownership requirements. If one partner has previously owned residential property in Australia, the application will not be eligible — regardless of whether the other partner is a first-time buyer.

The FHOG is administered by the Tasmanian State Revenue Office. Applications can be lodged through your lender if they are an approved FHOG agent, or directly with the State Revenue Office.

What Counts as a 'New Home'?

The FHOG applies to new homes only. This covers:

• Building a new home: A custom-designed home built on land you own or purchase, where the home has not previously been occupied as a principal residence. This is the most common use of the FHOG for Davies clients.
• Purchasing a newly built home: Buying a new home from a developer or builder that hasn't previously been sold or occupied as a principal residence.
• Substantially renovating an existing home: In some cases, major renovations that remove and replace the majority of a home's structure may qualify — the rules here are specific and should be confirmed with the State Revenue Office before relying on this path.

Buying an established (previously occupied) home does not qualify. The grant is explicitly for new housing — a policy designed to stimulate construction, not just property transfers.

For someone building a custom home with Davies, the pathway to the FHOG is clean and straightforward: you own or purchase land, we sign a building contract, the home is built new, and the grant is applied at the first progress payment — meaning it reduces the amount you need to draw from your construction loan at that stage.

How to Apply

In most cases, your lender will manage the FHOG application for you. If your lender is an approved FHOG agent — which most of the major banks and many mortgage brokers are — they will lodge the application on your behalf and have the grant available at settlement or the first progress payment.

If your lender is not an approved agent, you will need to lodge directly with the Tasmanian State Revenue Office. The SRO's website provides the current application form, a detailed guideline document, and contact details for questions about eligibility.

For a new build with Davies, the timeline looks like this: once your building contract is signed and your finance is approved, your lender lodges the FHOG application with your construction loan documentation. The grant is released at the first progress payment — typically when the slab is down, though exact timing depends on your lender's process.

Combining the FHOG with Other Grants and Concessions

The FHOG is one component of a broader package of assistance available to Tasmanian first home buyers. Here are the main programs that can be combined with the FHOG:

• First Home Guarantee (federal): The federal government's Home Guarantee Scheme allows eligible first home buyers to purchase or build with as little as a 5% deposit — without paying Lenders Mortgage Insurance (LMI). The scheme is capped at certain property value thresholds, which are higher for new builds than established properties. This can be used alongside the FHOG.
• First Home Buyer Stamp Duty Concession (Tasmania): Tasmania offers a stamp duty concession for first home buyers purchasing properties up to certain value thresholds. The concession can significantly reduce upfront transaction costs — check the current thresholds with the Tasmanian State Revenue Office or your conveyancer.
• First Home Super Saver Scheme (federal): The FHSS Scheme allows first home buyers to save for a deposit using voluntary superannuation contributions — with the tax advantages that come with super. Funds released from super under this scheme can be used toward your deposit, separate from the FHOG.

Used together, these programs can materially reduce the upfront capital required to build a new home. A first home buyer using the $30,000 FHOG, the stamp duty concession, and the Home Guarantee Scheme is in a significantly stronger position than the headline build cost figures might suggest.

Why a Custom Home Is the Best Use of the FHOG

The FHOG is specifically designed for new builds — and a custom home is new by definition. But beyond the eligibility point, there's a deeper argument: the $30,000 (or $20,000) grant is a contribution toward a home you actually designed, in a location that suits your life, built to a specification that serves you for decades.

An existing home bought with borrowed money has already made most of the decisions that will affect your daily life — the floor plan, the orientation, the room sizes, the insulation, the glazing, the kitchen. A custom build starts with your brief. The FHOG as a contribution toward that process isn't just a financial benefit; it's a contribution toward a home that was made for you.

At Davies, we've been building custom homes in Tasmania since 2009. Many of our clients are first-time builders — people who've decided they want something designed around their life, their site, and their values rather than something that happened to be available when they were ready to buy. The FHOG doesn't change the fundamentals of that decision. But $30,000 applied to a high-performance, well-designed home you'll live in for 20 years is a better outcome than $30,000 applied to one that wasn't designed for you.

If you're considering building and want to understand how the process works — and whether the June 30 deadline is achievable in your circumstances — a feasibility conversation with the Davies team is the right starting point. No obligation; just clarity about what's possible.

Frequently Asked Questions

Can I get the FHOG if I'm building on land I already own?

Yes. The FHOG for a new build is triggered by the building contract, not the land transaction. If you already own vacant land in Tasmania and are building a new home on it for the first time, you can still apply — as long as you meet all other eligibility criteria.

Does the grant apply if I'm buying house-and-land packages?

Yes, in most cases. House-and-land packages involve a separate land contract and building contract. The FHOG is assessed against the building contract. Confirm the specific details of your package with your lender and conveyancer to ensure the transaction structure qualifies.

What if my building contract is signed by June 30 but the home isn't finished until 2027?

The $30,000 rate is determined by the contract signing date — not the completion date. If your contract is signed by 30 June 2026, you qualify for the $30,000 grant regardless of when construction finishes. The grant is generally released at the first progress payment, not at completion.

Is the FHOG taxable income?

No. The FHOG is not assessable income for tax purposes. You don't need to declare it in your tax return and it doesn't affect your taxable income in the year you receive it.

Ready to Start?

If you're a first home buyer considering building in Tasmania and want to understand whether the June 30 deadline is achievable for your situation, the Davies team can help you work through the timing. Our design and construction process is transparent from day one — and a feasibility conversation will give you a clear picture of what's realistic in your timeframe.

Get in touch to talk through your first home build with the Davies team. Or explore our pricing guide to understand what your budget can achieve in Tasmania in 2026.