General Advice Warning: The information in this article is intended to be general in nature and is not personal financial advice. It does not take into account your objectives, financial situation or needs. Before acting on any information in this article, you should consider the appropriateness of the information provided. In particular, you should seek independent financial advice.
Owning your own home—it’s often seen as “the dream”, but for many renters, it feels more like a distant goal than an achievable reality. With rising rent prices in many parts of Queensland and the increasing cost of living, breaking out of the rent cycle and purchasing a home can seem like an uphill battle. However, making the leap from renting to homeownership might be more within your reach than you think.
This article walks you through the major stages of transitioning from renting to owning, from assessing your readiness to exploring government grants and navigating through costs. Queensland Country Bank aim to make Members feel empowered to take their first steps toward homeownership and are here to guide them on the journey.
Could You Be Financially Ready? Key Signs You May Be Prepared to Buy
Buying a home is a significant financial commitment, one of the first steps is understanding your readiness. Here are some key indicators to help you learn more about your current financial situation:
- Regular savings discipline – If you've managed to build a savings habit, even while juggling rent payments and other expenses, that could be a sign you’re developing the discipline required for homeownership.
- Steady income – A consistent income and job stability may play a role in securing a home loan. Many lenders may want to see that you have dependable income – but this does come down to individual circumstances.
- Debt management – Being on top of any existing debts, like credit cards or car loans, is a strong indicator that you could be ready to take on the responsibility of a mortgage.
- ‘Rainy Day’ funds – Owning a home could come with unexpected costs like repairs and maintenance. Building an emergency fund could ensure you’ll be prepared for surprises beyond the monthly mortgage.
If you’re ticking off several of these boxes, it could be time to consider taking steps towards purchasing a home.
Deposit Options Explained
One of the biggest hurdles for first-time buyers is often saving for a deposit. Understanding your options can make the process far less daunting.
How Much of a Deposit Do You Need?
Traditionally, the ideal deposit is 20% of the property’s value. For example, on a $500,000 home, you’d aim for $100,000. However, this isn’t a hard-and-fast rule. A lower deposit, such as 5%, may be enough for some first home buyers. It really comes down to your personal circumstances.
Deposit Boosting Tips from Dee, Queensland Country Bank Money Mentor;
- Structure your accounts for success.
“A good account structure is like the building blocks to a good budget. If you have all of your bills coming in and out of your spending account, it can be impossible to keep track of what funds are allocated where. Having a good account structure that separates bills, spending and savings, will make saving and budgeting much easier.”
- Seek guidance
“Between rising cost of living, rising rent prices, and our busy lifestyles, I would say most people don’t have time to spend hours building budgeting spreadsheets or know where to turn for some guidance. Financial literacy is not something that we talk about enough, and can even come with feelings of shame or embarrassment for some. It shouldn’t be this way. You should never feel bad about sitting down with someone who does this everyday, to get another perspective on things.”
Smart Tip: For budgeting guidance speak to one of our Queensland Country Bank offer a variety of competitive home loan rates for a range of deposit amounts. Contact us to learn more about SmartBudget and what may suit your individual needs.*
Take Advantage of Grants and Government Initiatives
Depending on your circumstances, you may have access to government grants and initiatives designed to make homeownership more accessible.
Queensland First Home Owner Grant (FHOG)
The First Home Owner Grant is a state government incentive helping first home buyers to buy or build a brand new home. Here’s how it works in 2025:
- Eligibility: You must be purchasing or building a new home (not established properties) valued under $750,000, be 18 years or older, and this must be your first residential property owned in Australia.
- Amount: Eligible first-time buyers can receive a one-off payment of $30,000.
Eligibility criteria apply. The grant payment amount could change based on your circumstances. Read more information on the FHOG.
First Home Guarantee (FHBG)
The First Home Guarantee (FHBG) is part of the Home Guarantee Scheme (HGS), an Australian Government initiative to support eligible home buyers to buy a home sooner.
How It Works: Part of an eligible home buyer’s home loan from a Participating Lender (like Queensland Country Bank) is guaranteed by Housing Australia. This enables an eligible home buyer to buy a home with as little as 5% deposit without paying Lenders Mortgage Insurance. For the FHBG, any Guarantee of a home loan is for up to a maximum amount of 15% of the value of the property.
Read more about the FHBG and full eligibility and conditions of the FHBG.
Regional First Home Buyer Guarantee (RFHBG)
The RFHBG is aimed at encouraging first home buyers to invest in regional centres and communities. It does this by issuing up to 10,000 guarantees for the 2024-25 financial years for eligible loans to regional first home buyers with a deposit of between 5 and 20 per cent of the property value.
Visit the official Housing Australia website for further information and to read the full conditions and eligibility criteria.
Stamp Duty Concessions
Stamp duty, a tax on property transfers, can add thousands to your purchase costs. Queensland offers various stamp duty concessions to first property buyers.
The first home concession only applies to a home valued under $800,000 and can save you up to $24,525. The home concession may still apply for a home valued over $800,000.
Learn more and read the full eligibility and conditions of the First Home Concession.
The Costs of Owning
If you’re new to the idea of owning, it’s important to understand the potential costs of homeownership. In some cases, owning a home isn’t much more expensive than renting. In others, the additional costs of home ownership may exceed what you currently pay in rent. In any case, it’s important to be aware of the costs.
Some additional costs to consider (not exhaustive):
- Council Rates
- Strata Fees
- Damages to the property or unexpected repairs
- Insurance costs
- Fluctuating interest rates
While ownership comes with additional costs, it also means your payments could build your equity in your property. The range of costs vary depending on your personal circumstances.
Insights From Our Team
Transitioning from renting to owning? Here’s the specialist guidance our lenders recommend to first-time buyers in Queensland.
- Understand Pre-Approval
Before house hunting, speak to your lender about pre-approval for your home loan. A pre-approval is a lender’s agreement to lend you money up to a certain amount, subject to conditions. This gives you a clear budget to work with and makes helps support you in the eyes of sellers.
- Keep a Checklist of Priorities
Whether it’s proximity to work, schools, or public transport, knowing your non-negotiables will save you time when comparing homes.
- Don’t Skip Building Inspections
Avoid falling in love with a home without a thorough building inspection. A small cost now could save you thousands later.
- Don’t Be Afraid to Ask Questions
From interest types to fees, the more questions you ask, the better informed you'll be to make one of the most important financial decisions of your life. Our team are here to help guide you through the process.
Are You Ready to Turn the Key on Your New Home?
Breaking the cycle of renting and moving into your first home may seem challenging, but with the right tools and knowledge, it’s achievable. Assess your financial readiness, build your deposit through smart saving, review your eligibility for Queensland’s grants or schemes, and make informed decisions—because your future home could be closer than you think.
If you’re ready to start your homeownership journey or have more questions, our friendly team is here to help. Contact us today to explore your options and take the first step toward owning your own home.
*View our Fees and Charges and SmartBudget Terms and Conditions brochure for full details and eligibility.