First Home Buyer Guide South Australia (SA) 2026 - Grants, Schemes & Loans

In South Australia, the First Home Owner Grant (FHOG) is $15,000. This grant is available to first home buyers purchasing or building a new home. The $650,000 property value cap was removed for contracts entered into on or after 6 June 2024. The grant applies only to new homes - not established properties. You must be an Australian citizen or permanent resident, at least 18 years old, and not have previously owned property in Australia. Applications are lodged through your lender at settlement or directly through RevenueSA. South Australia's $15,000 FHOG is higher than both NSW and Victoria ($10,000 each).

First home buyers in South Australia pay no stamp duty on new homes, and on vacant land bought to build a new home, with no property value cap for contracts entered into on or after 6 June 2024 (a $650,000 cap applied to earlier contracts). For established homes, SA offers no first home buyer stamp duty concession - standard rates apply. On a $650,000 new home the exemption saves approximately $29,580 compared to a non-first-home buyer. South Australia calls it "stamp duty" rather than "transfer duty."

There is no property value cap for contracts entered into on or after 6 June 2024. The $15,000 grant covers newly built houses, off-the-plan apartments, substantially renovated properties and owner-builder new constructions; a $650,000 cap applied to contracts before that date. The stamp duty exemption for new homes has no value cap either, so eligible buyers can receive both the full $15,000 FHOG and a complete stamp duty exemption on a new home at any price.

No, the South Australian First Home Owner Grant is not available for existing (established) homes. The $15,000 grant applies only to new homes, including newly built properties, off-the-plan apartments, substantially renovated homes, and owner-builder new constructions. The stamp duty exemption for FHBs in SA also applies only to new homes (no value cap for contracts from 6 June 2024). However, if you are buying an existing home in SA, you can still access HomeStart low-deposit loans (3% deposit, no LMI), the First Home Buyer Guarantee (5% deposit, no LMI), Help to Buy (30% government equity for existing homes), and the First Home Super Saver Scheme.

The minimum deposit to buy a first home in Adelaide depends on which scheme you use. With HomeStart Finance - SA's government-backed lender - you need just 3% deposit with no LMI. The HomeStart Graduate Loan requires only 2% for tertiary graduates. With the First Home Buyer Guarantee (FHBG), you need 5% - $23,750 on a $475,000 property - with no Lenders Mortgage Insurance. With Help to Buy, you need just 2%. Without any scheme, most lenders require at least 5% but you will pay LMI of approximately $6,000-$15,000 unless you have 20% ($95,000). Adelaide's significantly lower entry prices make homeownership achievable with modest savings.

HomeStart Finance is a South Australian government-owned lender that provides low-deposit home loans exclusively to SA residents. HomeStart requires just a 3% deposit with no Lenders Mortgage Insurance - or 2% for tertiary graduates through the Graduate Loan product. Income caps apply and vary by product and household composition. HomeStart also offers a Shared Equity Option where the SA government contributes a share of the purchase price, reducing your loan amount and repayments. Like WA's Keystart, HomeStart is designed to help buyers enter the market sooner. Once you build equity, you can refinance to a mainstream lender for a lower rate.

Income caps for first home buyer schemes in South Australia vary by program. HomeStart Finance caps vary by product and household size - typically around $75,000-$100,000 for singles and up to $130,000 for families. The 5% Deposit Scheme (formerly the First Home Buyer Guarantee) has had no income cap since 1 October 2025. Help to Buy income caps are $103,000 for a single applicant and $165,000 for joint applicants or a single parent for 2026-27 (taxable income). The First Home Owner Grant (FHOG) in SA has no income test - eligibility is based on property value and type. The First Home Super Saver Scheme (FHSS) also has no income cap.

On a $90,000 salary with no other debts, most lenders will approve a first home loan of approximately $480,000-$560,000. Lenders apply APRA's 3% serviceability buffer, testing affordability at around 9.5%. A $30,000 HECS-HELP debt reduces borrowing capacity by approximately $30,000-$45,000. In Adelaide, borrowing capacity of $480,000-$560,000 covers the vast majority of suburbs - Adelaide is significantly more affordable than Sydney and Melbourne, meaning single-income buyers can access a much wider range of properties. Using a joint application with a partner increases options further.

The most affordable suburbs for first home buyers in Adelaide in 2026 include areas in the northern corridor such as Elizabeth ($280,000 median unit), Davoren Park ($290,000 median unit), and Salisbury ($310,000 median unit). In the south, Christies Beach and Morphett Vale offer units from $330,000. Growth areas like Mount Barker have units from $350,000 with new estates under development. Regional centres like Murray Bridge ($230,000 median unit) and Mount Gambier ($220,000 median unit) offer the lowest entry points with 5% Deposit Scheme eligibility.

Adelaide has experienced the fastest capital growth of any Australian capital city over the 2023-2025 period, driven by several factors. Relative affordability compared to Sydney and Melbourne has attracted strong interstate migration. Limited housing supply relative to demand has pushed prices higher. Defence spending around the Osborne Naval Shipyard and Edinburgh Defence Precinct has boosted employment. Major health and biomedical investment including the new Royal Adelaide Hospital precinct has added jobs. Adelaide's median house price remains approximately $700,000 - roughly 60% of Sydney's median - making it attractive for both owner-occupiers and investors relocating from more expensive states.

HomeStart offers unique advantages: 3% deposit (or 2% for graduates), no LMI, shared equity options, and understanding of the SA market. However, HomeStart rates are typically 0.4-0.6% higher than the best mainstream lenders. For a $475,000 loan, this means approximately $100-$140 more per month. The strategy many SA first home buyers use is to start with HomeStart to enter the market with minimal savings, build equity over 2-3 years, then refinance to a mainstream lender at a lower rate once LVR drops below 80%. This avoids both LMI and the need for a large deposit. Tertiary graduates should specifically consider the Graduate Loan with its 2% deposit.

Regional South Australia offers significantly lower entry prices and access to the 5% Deposit Scheme (which replaced the Regional First Home Buyer Guarantee in October 2025) with 5% deposit and no LMI. Median house prices in Murray Bridge ($350,000), Mount Gambier ($340,000), and Whyalla ($250,000) are well below Adelaide's $700,000 median. Regional buyers also benefit from SA's $15,000 FHOG for new builds. However, Adelaide offers stronger employment diversity, better services, and historically more consistent capital growth. Consider outer Adelaide growth areas like Mount Barker and Playford which offer suburban prices with improving city connectivity.