How to build your first home in Adelaide

The 10-step framework

1. STEP 1

   Confirm your First Home Owner Grant eligibility

   The First Home Owner Grant in South Australia provides a one-off payment for eligible first-home buyers building a new home under a specified purchase price. Eligibility requires you and your partner not previously owning residential property in Australia, occupancy for at least six months within 12 months of settlement, and the property meeting the value cap. Confirm current rules on the RevenueSA website; caps and eligibility change from time to time.

2. STEP 2

   Check stamp duty concessions

   First-home buyers in SA typically qualify for stamp duty relief on qualifying properties. Concessions are administered by RevenueSA and vary depending on whether you are buying land only, an established home, or a new build. Full concession applies below a threshold value with tapered concessions above. Get advice specific to your purchase from a conveyancer or accountant.

3. STEP 3

   Consider a HomeStart Finance loan

   HomeStart Finance is a South Australian government-backed lender specialising in loans for first-home buyers and low-to-moderate income buyers. Products include the Starter Loan, the Advantage Loan, and shared-equity products. HomeStart accepts smaller deposits than mainstream lenders and applies less strict serviceability tests, but interest rates may be slightly higher.

4. STEP 4

   Get pre-approval before land shopping

   Do not sign a land contract without confirmed borrowing capacity. A finance broker or lender pre-approval gives you a clear budget and avoids the pain of finding a block you cannot fund. Pre-approvals are typically valid for 90 to 120 days.

5. STEP 5

   Understand the land-then-build sequence

   For first-home buyers, the typical sequence is: buy land first, then engage a builder to build on it. The land title must be issued and settlement completed before construction can start. Some house-and-land packages combine both into one transaction with sequential settlements. Understand which model applies to your specific package.

6. STEP 6

   Choose a builder with first-home-buyer experience

   Some Adelaide builders have dedicated first-home-buyer product lines with fixed-price packages, standard inclusions, and finance-friendly features. Others do not cater to the segment. First-home builders understand the FHOG timing, HomeStart interactions and construction loan progress payments. This experience matters.

7. STEP 7

   Read the display home inclusions carefully

   Display homes shown by first-home builders often include upgrades not in the standard package. Ask specifically which items in the display are standard, which are optional upgrades, and get an upgrade price list. The "as displayed" price is rarely the base price.

8. STEP 8

   Budget for the fifth invoice

   Progress payment loans release funds in stages tied to construction milestones (deposit, slab, frame, lockup, fixing, practical completion). Between the last progress payment and moving in, expect one to two additional invoices for site services, driveways, landscaping, letterboxes, curtains, blinds. Budget several thousand dollars for these; they are not in the base contract.

9. STEP 9

   Consider First Home Buyer Grant timing

   The FHOG is paid at settlement or first progress payment depending on the lender and grant type. Timing affects whether the grant can be used as deposit or lands after settlement. Discuss with your finance broker how the grant is structured in your specific transaction.

10. STEP 10

    Plan the move-in and utility connections

    Two to four weeks before handover, arrange electricity connection, gas connection or all-electric confirmation, water connection, NBN, insurance activation, and Australia Post redirection. First-home buyers often underestimate this administrative load; start early.

FAQs