First Home Buyer Guide

Making your first home dream a reality

Spring purchase

There are few things more exciting than getting the keys to your first home, and few things more daunting.

Just the thought of going through all your finances and deciding what to do next. At Fox Mortgages, we’ve dealt with many clients who feel the same way.

We don’t charge you to review your situation and provide you with a stress-free process. We do all the legwork. All you do is come along to the appointment with a few bits of information and you let us do the hard work.

Whether you are buying a house and land package or an established home, our role is to guide you through the process as easily and calmly as possible.

We can also help you plan, so you can avoid being blindsided by lender policies or hidden costs.

First Steps

Your first home is likely to be a stepping-stone into home ownership, not the final destination, so it is important to make the right decisions.

You’ve done your research into the kind of property you’d like and the suburb you want to live in, and how close the amenities that matter to you are, but before you go looking you need to know what you can afford.

The reality of what you can afford to buy is directly impacted by how much you have saved, your income, and your overall financial position.

How much deposit do you need?

It’s important that you work out how much you can borrow first as your deposit will likely be an important factor in determining the price of the property you will purchase. When you know what your budget is our rule of thumb is you’ll need 20% of the purchase price plus costs. We created a helpful calculator to help you estimate the costs.

Your deposit can come from a combination of sources including genuine savings, gifts from family, and first-home buyer schemes (see below).

Some lenders may be able to lend you up to 98% of the property value, meaning that you can purchase with a smaller deposit. But in these cases, you may be hit with Lenders Mortgage Insurance (LMI), which protects the lender in case you can’t repay the loan.

Family Guarantee

Whilst the thought of saving 20% plus costs to get into your first home can seem out of reach, there is a way to secure a first home using a family guarantee. It’s a way that parents can assist their children by providing their property as additional security for the new loan.

It allows a new purchase to be free from lenders mortgage insurance and keeps the loan rate competitive.

There are many considerations when entering into a family guarantee and some lenders may require the guarantors to seek legal advice.

Borrowing Capacity

How much you can afford to repay can be calculated as the combined salary of the purchasers, minus the expenditures you need to make, such as living expenses and existing loans like car loans or credit cards.

We created a helpful calculator to help work things out approximately.

Whilst the calculator can give you an estimated borrowing capacity, it’s worth noting that there are huge variances from lender to lender in how income is assessed, especially casual income, overtime, and allowances.


As a first-home buyer there are a range of incentives that you may qualify for. We can help find out what you can access and help you submit the applications.

First Home Owner Grant (FHOG)

The FHOG is a one-off payment to assist first-home buyers in buying or building their first home provided by the State Government of Western Australia.

The grant is currently $10,000 to buy or build a new residential property as their principal place of residence (substantially renovated properties may qualify).

It could also help with the cost of Stamp Duty.

Additional Information

Stamp Duty is a tax levied by all Australian territories and states on property purchases. The stamp duty a buyer pays can be based on the property purchase price, location, and loan purpose. Some states also charge different rates on investment properties than on places of residence. Use our Stamp Duty Calculator to find out how much this could be. 

For those that are eligible and purchasing an established house and land the ‘First Home Owner Rate’ currently provides duty concessions on purchases $450,000 or below, and a discount for purchases between $450,000 and $600,000. (Information is for property in WA metro area)

First Home Buyers Assistance Account

The State Government of Western Australia also can grant of up to $2,000 to assist first-home buyers in Western Australia with some of the costs associated with their purchase. Available for purchases up to $400,000.

First Home Guarantee (FHG) 

The Federal Government launched the FHG in January 2020 with 10,000 grants being available to Australian citizens who are buying their first home in that financial year and a further 10,000 from 1st July 2020.

The scheme allows purchasers to have lenders mortgage insurance waived with just a 5% deposit through selected lenders.

Next Steps

Book a free appointment with us, and we can help set out the process as a first home buyer. We will guide you through all the costs associated with a purchase and importantly give you your borrowing capacity allowing you to understand your budget.


If you haven’t chosen your home yet and want the confidence to make an offer when you find it, we can assist in getting you pre-approved for your purchase.

Make your first home dream a reality

Get in touch now to book your review with Fox Mortgages.

186 reviews on
Steven Barrett
Steven Barrett
26 April 2024
Paul was amazingly helpful and of great service, he eased uncertainty for us in the early parts of the house buying process and supported us all along the way, even when circumstances were likely and eventually proven that the finance would no longer be needed. 100% recommended!
Deryck Tucker
Deryck Tucker
16 April 2024
10 out of 10. Paul and his team were amazing. Very helpful every step of the way for our property purchase, highly recommend Fox Finance.
Luke Grundy
Luke Grundy
16 April 2024
Great work team! Delighted to have settled in our first family home, great work from Paul, Naomi and the rest of the team at Fox Mortgages - would highly recommend them to anyone in need of a Mortgage Broker. Luke, Laura, Little Izzy and the the dog Winston!!
Samara Meghani
Samara Meghani
12 April 2024
Paul & his team have been fantastic throughout the whole process of purchasing our home.
Alan Seery
Alan Seery
9 April 2024
Excellent Customer Service. Paul and the team at Fox Mortgages assisted us with re-mortgaging and new mortgages over the years and the experience has always been extremely positive and efficient. I'd recommend Fox Mortgages to anyone.
Sue Garrood
Sue Garrood
4 April 2024
Top Line Professionalisim. The team at Fox Mortgages were faultless from start to finish. This was my first home purchase & Paul took all the time I needed to talk & help me through every stage answering every small question & query. What I thought was going to be the impossible they made possible for me. Could not fault a single step with the whole team. Communication didnt stop when purchase went through either, the follow ups & check ins show they genuinely want to make sure your off to a good start & can go back at any stage for advice at any stage. Great experience, awesome team could not recommend them any higher!!!!
Tania P
Tania P
25 March 2024
The team at Fox Mortgage Services are the best mortgage brokers ever! Nothing was too much trouble, the process was so easy and they were so wonderful to deal with, even though we weren’t the easiest of clients! Thanks Paul and the team, you are amazing. 🤩
20 February 2024
Great service efficient painless process. Thank you.
Jo Larvin
Jo Larvin
20 February 2024
Very helpful and friendly, we had some quirks in our application and they were very responsive at helping to resolve and making sure we got our mortgage. We were so impressed, we went back a second time for another property, and will go back for any future purchases.