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First home buyers · Worked example

Links Property Finance · Home loans for first home buyers: Cash Needed to Buy an $800k Home in Sydney

At $800,000 an eligible first home buyer pays no NSW stamp duty, which makes the cash needed smaller than most people expect.

Reviewed by Charles Touma Updated 18 October 2026

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Buying at $800,000? How much cash do you need?

For an eligible first home buyer using the 5% Deposit Scheme, about $43,500: a $40,000 deposit plus around $3,500 of legal, inspection and government fees, with no stamp duty at $800,000.

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With a 20 per cent deposit it is about $163,500, and a buyer who is not a first home buyer adds about $30,187 of stamp duty.

Part of the first home buyer loans guide.

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What stamp duty would you pay?

What stamp duty would you pay?

NSW first home buyer stamp duty

$750,000
Transfer (stamp) duty$0Exempt under the First Home Buyers Assistance Scheme, saving $27,937

Assumes an eligible NSW first home buyer purchasing an existing home under the First Home Buyers Assistance Scheme (exempt to $800k, concession to $1m). Indicative only, check Revenue NSW for your exact position.

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Charles Touma, mortgage broker at Links Property Finance

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As a first home buyer, I was pretty overwhelmed at the start, but Charles made everything much easier. He explained the process step by step and helped me understand my borrowing options. His professionalism and responsiveness were excellent.
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Charles at Links Property Finance made buying our first home so much easier than we expected. As first home buyers, we had a lot of questions around borrowing capacity, our deposit and the different government schemes available to us. Charles explained everything clearly, compared different lenders and kept us updated throughout the whole process. He was always easy to reach and made sure we understood what was happening from pre approval right through to getting our home loan approved. We would definitely recommend Links Property Finance to anyone looking for a mortgage broker, especially first home buyers who want someone to guide them through the process.
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Why is $800,000 the number to understand?

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  • Under the NSW First Home Buyers Assistance Scheme, an eligible first home buyer pays no transfer duty on a home up to and including $800,000.Above that, a concession applies on a sliding scale to $1 million, and above $1 million full duty is payable.
  • So $800,000 is a threshold, not just a price.Buying at $800,000 rather than $850,000 does not only save you $50,000 of purchase price; it can also remove several thousand dollars of duty. It is the single most consequential line in the NSW rules for a first home buyer, and it is worth knowing exactly where you sit relative to it.

The deposit is the biggest part, not the only part

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  • Most people budget the deposit and are then surprised by the rest.The rest is not enormous, but it is real, and it has to be available as cash rather than borrowed.
  • The other thing worth understanding early is that the deposit itself is not one figure.At $800,000 it can be $40,000 or $160,000 depending on the route you take, and the difference between those two is usually the difference between buying this year and buying in several. Compare the low deposit routes.

Putting it together

On a 5 per cent deposit through an eligible scheme, with no duty and no mortgage insurance, the cash required at $800,000 comes to the deposit plus roughly three to five thousand dollars of costs.

That is a materially different proposition from the $160,000-plus most people assume, and it is the reason the schemes matter so much at this price.

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How much cash at $800,000 if you owned a home more than 10 years ago?

An illustrative single buyer sold their last home 12 years ago and buys a three-bedroom townhouse for $800,000. The 5% Deposit Scheme accepts buyers who have not owned property in the last 10 years, so a $40,000 deposit works with no lenders mortgage insurance.

  • NSW duty relief is stricter: it needs a buyer who has never owned a home here, so this buyer pays the standard $30,187. With $365 to register the transfer and mortgage and roughly $3,500 for conveyancing, inspections and loan costs, about $74,000 has to leave their account, against about $44,000 for a first home buyer at the same price.
  • The $760,000 loan costs about $4,560 a month, and the lender tests it at about $6,120. This is an illustrative example, not a Links client: figures are rounded, at the 6% example rate over 30 years.
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Costs people forget

The holding deposit. Usually 10 per cent of the price on exchange, though it can often be negotiated lower or covered by a deposit bond.

It is not an extra cost, it comes off your deposit, but it has to be available on the day you exchange rather than at settlement.

What if your price is not $800,000?

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Confirm the government figures

Duty thresholds, grant amounts and scheme price caps are set by government and change. Any figure on any website is only as current as the day it was written, and this one is no exception.

The authoritative sources are Revenue NSW for transfer duty and the grant, and Housing Australia for the deposit guarantee schemes. Eligibility is assessed by them and by your lender, not by us.

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Common questions about buying at $800,000

How much cash do I need to buy an $800,000 house in Sydney?

It depends on the deposit route: about $40,000 plus costs with a 5 per cent deposit, or $160,000 plus costs with 20 per cent. The costs beyond the deposit are similar either way.

Do first home buyers pay stamp duty at $800,000 in NSW?

Eligible first home buyers pay no transfer duty on a home up to and including $800,000 under the NSW First Home Buyers Assistance Scheme. Between $800,000 and $1 million a concession applies on a sliding scale, and above $1 million full duty is payable.

What costs do people forget?

Building and pest inspections or a strata report, the rates adjustment paid to the seller at settlement, government transfer and registration fees, and moving costs. Individually they are small; together they commonly add several thousand dollars.

Can I use the 5% deposit scheme at this price?

Yes, on price: the Sydney cap for the 5% Deposit Scheme is $1.5 million, well above $800,000. Eligibility depends on the other criteria, and the scheme is administered by Housing Australia.

Is the deposit paid all at once?

No. A holding deposit, commonly 10 per cent of the price, is paid on exchange of contracts, and the balance is paid at settlement. Your conveyancer negotiates this as part of the contract.

Once the cash figure is clear, the next questions tend to follow quickly, and many of them are answered in our first home buyer FAQ.

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Charles Touma, mortgage broker at Links Property Finance
Reviewed by Charles Touma Director & Mortgage Broker · MFAA member · Credit Representative 579003 under ACL 389328 About Charles · MFAA register · ASIC register · Complaints processEvery page is reviewed by Charles before it is published and checked against current lender policy and the official scheme pages linked where figures appear.

Official sources for the figures on this page: Revenue NSW, First Home Buyers Assistance Scheme · Revenue NSW, transfer duty rates. Scheme rules change; the official pages are the final word. Checked against these sources on 12 October 2026.