First home buyer guide 2026: the basics, all you need to know

Most first home buyers don't need more hype. They need a clear list of what to actually check. Start with the numbers, and the rest gets easier.

1. Work out what you can borrow

Before you start looking at properties, find out your borrowing power. A lender might approve you for more than you expected, or less. It's better to know early before you fall in love with a property you can't buy.

Your income, debts, deposit, living expenses, and number of dependants all affect the number.

2. Save your deposit

20% is ideal. It isn't always necessary. Depending on your lender and situation, you may be able to buy with less. If you do, factor in LMI — Lenders Mortgage Insurance — and make sure the repayments still work.

Some buyers qualify for government guarantee schemes that let you buy with 5% and skip LMI entirely. Worth checking.

3. Check grants and stamp duty

This is where first home buyers can save real money — and most people don't check carefully enough.

Don't skip stamp duty

Stamp duty can be one of the biggest upfront costs in the whole purchase. On a $700K property in NSW, that can exceed $25,000. If you qualify for an exemption, that's money that stays in your pocket or reduces your loan.

4. Choose your property type carefully

A new home, existing home, off-the-plan apartment, or vacant land all come with different grant and duty rules. Some schemes only apply to new builds. Others apply to existing homes too. Match the scheme to the property, not the other way around.

5. Get pre-approval before you look

Pre-approval gives you a confirmed price range. It stops you wasting time on properties you can't buy and puts you in a stronger position when you find the right one.

6. Don't forget the extra costs

• Conveyancing (legal transfer of the property)
• Building and pest inspection
• Moving costs
• Loan application or establishment fees
• Council rates and strata (if applicable) from settlement day

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