Buy Smarter From Day One
How you buy your first (or next) property sets the foundation for everything that follows. We ensure the structure, timing, and financing are right — not just the property.
The True Cost of Buying a Property in NSW
The purchase price is the headline number. These are the costs that actually determine what you need.
Example: $950,000 Purchase (First Home Buyer, Owner-Occupied)
*LMI estimate for 90% LVR. Can be capitalised into loan in some cases. Stamp duty calculated with NSW FHB concession for properties $800,001–$1,000,000 (partial exemption).
Without the FHB concession? Stamp duty on a $950,000 property in NSW would be approximately $37,990 — a difference of $25,773. Missing this concession because you did not structure correctly is an expensive mistake.
What We Do For Home Buyers
Every buyer engagement starts with numbers, not property listings.
Borrowing Capacity + Tax Impact Analysis
What you can borrow is only half the equation. What it costs you after tax is the other half.
Factors That Determine Borrowing Capacity
- Gross income (salary, rental, business, investment)
- Existing liabilities (credit cards count at limit, not balance)
- Living expenses (HEM benchmark vs declared expenses)
- HECS/HELP debt (now included in serviceability at repayment rate)
- Number of dependents
- Loan term and product type (P&I vs IO impact)
- Interest rate buffer (currently 3% above product rate)
What Most Brokers Miss
- HECS/HELP repayment impact on disposable income
- Credit card limits reducing capacity (even if balance is $0)
- Different lender policies on overtime, bonuses, and commissions
- Rental income shading (lenders discount rent by 20-40%)
- The impact of your car loan on maximum borrowing
- Post-settlement cash flow — can you actually live on what remains?
First Home Buyer Concessions (NSW)
There are multiple schemes. Eligibility rules are specific. We ensure you claim every dollar available.
Stamp Duty Exemption / Concession
- Full exemption: New homes up to $800,000; existing homes up to $800,000
- Partial concession: Properties $800,001 – $1,000,000 (sliding scale)
- Must be a first home buyer who has never owned property in Australia
- Must move into the property within 12 months and live there for 6+ continuous months
Potential saving: up to $31,335 on a $800,000 property
First Home Owner Grant (FHOG)
- $10,000 grant for new homes valued up to $600,000
- New home includes newly built, off-the-plan, or substantially renovated
- Cannot have previously owned residential property in Australia
- Must be an Australian citizen or permanent resident
Direct grant: $10,000 for qualifying new builds
First Home Super Saver Scheme (FHSSS)
- Salary sacrifice additional contributions into super (up to $15k/year, $50k total)
- Withdraw these contributions (plus deemed earnings) for your deposit
- Contributions are taxed at 15% in super vs your marginal rate outside super
- For someone on 37% MTR, saving $50k through FHSSS saves approximately $8,500 in tax
Tax saving on deposit: up to $8,500+ depending on marginal tax rate
Stamp Duty: The Numbers That Change Your Budget
Stamp duty in NSW is a significant upfront cost. The amount varies dramatically based on eligibility.
| Purchase Price | Standard Stamp Duty | FHB Concession | You Save |
|---|---|---|---|
| $650,000 | $24,457 | $0 | $24,457 |
| $750,000 | $29,457 | $0 | $29,457 |
| $800,000 | $31,335 | $0 | $31,335 |
| $900,000 | $35,835 | $17,918 | $17,917 |
| $1,000,000 | $40,335 | $40,335 | $0 |
NSW stamp duty rates as at FY2025. FHB concession applies to properties up to $1,000,000 for eligible first home buyers. Foreign buyer surcharge (8%) applies additionally to non-residents.
Structure for Future Growth
Your first property purchase sets the foundation for your entire wealth trajectory.
If this home might become an investment property in the future (you move out and rent it), how you buy it today affects your deductions for years to come. We plan for this from the start.
What We Plan For
- Loan structure that preserves tax deductibility if converted to investment
- Ownership structure that allows future portfolio growth
- Offset account strategy vs redraw (critical for future deductibility)
- Property selection in growth corridors with rental demand
- Avoiding features that limit future rental appeal
The Offset vs Redraw Trap
If you pay down your home loan using redraw, then convert the property to an investment and redraw the funds for a new home — the redrawn amount is NOT tax deductible for the investment property. The ATO traces the purpose of the borrowed funds.
An offset account avoids this entirely. Your savings sit alongside the loan, reducing interest, but the loan balance remains intact. When you convert to investment, the full original loan is deductible.