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Regional First Home Buyer Guarantee: who actually qualifies

The Regional First Home Buyer Guarantee (RFHBG) is the regional-specific version of the First Home Guarantee, administered by Housing Australia. 10,000 places per financial year, aimed specifically at first home buyers purchasing in regional areas. The mechanics are the same as FHG but the eligibility and property rules differ.

Who qualifies

  • Regional residency: you must have lived in the region (or within an adjacent regional area) for at least 12 months leading up to purchase, OR you are a returning resident who lived there previously
  • First home buyer: standard criteria (no previous residential property ownership)
  • Income caps: $125k single, $200k couple - same as FHG
  • Property price caps: regional-specific, lower than metro caps (typically $600k-$850k depending on regional area)
  • Property must be in a defined regional area - the ABS Statistical Area Level 4 classifications are the reference, excluding the capital cities

What “regional” actually means for each state

Regional NSW includes Central Coast, Newcastle, Wollongong, Blue Mountains, Hunter, Mid-North Coast, Northern Rivers, Central West, Far West, Murray, Riverina, Southern Highlands.

Regional VIC includes Geelong, Ballarat, Bendigo, Latrobe Valley, Mildura, Shepparton, Warrnambool, Wodonga.

Regional QLD excludes Brisbane, Gold Coast, Sunshine Coast - so includes Cairns, Townsville, Mackay, Rockhampton, Bundaberg, Toowoomba, Wide Bay.

Regional WA excludes Perth and nearby - includes Bunbury, Albany, Geraldton, Kalgoorlie.

Regional SA, TAS, NT, and ACT have specific definitions consult Housing Australia or your broker for the current list.

The 12-month residency test

This is the biggest difference from FHG. You must have lived in the regional area for 12 months prior to purchase, or be a returning resident. This prevents metro buyers from gaming the scheme by buying a regional investment property on a 5% deposit. The scheme targets genuine regional households.

“Returning resident” means someone who previously lived in the area (proven by electoral roll, tenancy records, employment records) and is returning - for example, to care for a family member or after a stint in the city.

When RFHBG beats FHG

For a couple on $180k combined income looking to buy a $720k house in Newcastle, the numbers:

  • RFHBG: 5% deposit = $36k, no LMI, regional property cap of $900k allows this purchase
  • FHG (if the property were in Sydney at $900k cap): same 5% deposit, same no-LMI, but the city property cap constrains purchase options

The practical difference is accessibility - regional places have typically taken longer to fill than metro places, because fewer eligible regional buyers apply.

Combining with state concessions

RFHBG stacks with state-level stamp duty concessions. In NSW, a $720k first home buyer purchase attracts a duty concession (partial waiver between $800k-$1m). In VIC, regional buyers often get additional concessions beyond metro. Check the state layer.

Where applicants fail

  • Couples where only one has the 12-month regional residency and the other has moved from Sydney six months ago
  • Property technically within a metro area (check the exact postcode classification)
  • Misunderstanding the income cap as “your income” when the cap is combined