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Which State is Cheapest for First Home Buyers?

Not all states are created equal For first home buying. Property prices, stamp duty, government grants, and price caps vary significantly. This guide compares all 8 states and territories to help you find the best value.

Overall Cost Comparison

Here's a comparison of what it costs to buy a first home in each state. We've used a median-priced unit/apartment for each capital city as a benchmark:

StateMedian Unit PriceStamp Duty (first home buyer)FHOGTotal Upfront Cost (5% deposit + fees)Score
Northern Territory (NT)$380,000$0 (exempt up to $650k)$15,000$19,000★★★★★
South Australia (SA)$410,000$0 (exempt up to $650k)$15,000$20,500★★★★★
Tasmania (TAS)$430,000$1,500 (after 50% concession)$10,000$23,000★★★★
Western Australia (WA)$450,000$0 (exempt up to $430k)$10,000$22,500★★★★
Queensland (QLD)$480,000$0 (exempt up to $500k)$15,000$24,000★★★★
Victoria (VIC)$600,000$0 (exempt up to $600k)$10,000$30,000★★★
ACT$500,000$5,000 (concession applied)$10,000$25,000★★★
New South Wales (NSW)$720,000$0 (assistance scheme up to $800k)$10,000$36,000★★

Note: Total upfront = 5% deposit + stamp duty (after concessions) + $5,000 fees: minus FHOG grant. Prices are approximate as of 2026.

Cheapest States Ranked

1. Northern Territory (NT): Most Affordable Overall

The NT has the best combination of low property prices, full stamp duty exemption, and a $15,000 grant. Darwin's median unit price is around $380,000. A 5% deposit would be $19,000 plus FHOG of $15,000: meaning your total cost of purchase (excluding fees) is effectively only ~$4,000 out of pocket with the grant.

2. South Australia (SA): Excellent Value

Adelaide has median unit prices around $410,000, a full stamp duty exemption up to $650,000, and the maximum $15,000 FHOG. A 5% deposit of ~$20,500 plus the $15,000 grant makes entry very affordable.

3. Tasmania (TAS): Solid Option

Hobart median unit prices around $430,000 with a 50% stamp duty concession (saving ~$10,000) and $10,000 FHOG. Regional Tasmania is even cheaper.

4. Western Australia (WA): Strong Contender

Perth units around $450,000. Full stamp duty exemption up to $430,000 (partial up to $530,000) and $10,000 FHOG. Regional WA has even lower prices.

5. Queensland (QLD): Good Value

Brisbane units around $480,000. Stamp duty exemption up to $500,000 and the $15,000 FHOG makes QLD competitive, though prices have risen significantly post-COVID.

Summary Comparison Table

StateBuying a $500,000 Property: Total Out of Pocket (5% deposit + fees - FHOG)
NT$15,000 (plus you get $15k FHOG = net positive)
SA$15,000 (plus $15k FHOG = net positive)
QLD$25,000 (stamp duty exemption) - $15k FHOG = $10,000 + fees
VIC$0 stamp duty (up to $600k) + $25k deposit - $10k FHOG = $15,000 + fees
NSW$0 stamp duty (Assistance Scheme) + $25k deposit - $10k FHOG = $15,000 + fees

Key Takeaways

Related Guides

Prices, grants, and concessions are approximate and based on 2026 data. Always check current state government websites for the most up-to-date information.

How to Compare States Like a Pro

Cheapest isn't just the lowest median price — it's the total of price, stamp duty, grants, and ongoing costs. The 2026 picture: the ACT now charges first home buyers no stamp duty at all, but has among the highest property prices; QLD exempts new homes from duty entirely and offers the $15,000 grant (after the $30,000 boost ended in June 2026); NT and SA have the lowest entry prices; and the First Home Guarantee's price caps — like $1.5 million in Sydney versus $700,000 in Hobart — determine where a 5% deposit loan is actually possible.

A useful method is to price one specific property — say a $550,000 unit — across states: add the stamp duty you'd actually pay, subtract any grant, and compare the total cash needed. That number, divided by local median incomes, gives you a rough affordability score that simple price rankings hide.

Action Plan: Shortlisting Your State

  1. Write down your budget and check the First Home Guarantee price cap for each city you're considering.
  2. Use the tables above to compare stamp duty and grants for your target price point.
  3. Factor in lifestyle and employment — a cheaper home in a market with no jobs costs more in the long run.
  4. Check state-specific extras: FHOG amounts, off-the-plan concessions, and shared equity programs (like Keystart in WA).
  5. Verify every figure on the state revenue office websites before making a decision — grants and thresholds changed across QLD, TAS and ACT in July 2026.