Buying your first home in Perth is an exciting milestone and one of the biggest financial decisions you will ever make. With property prices continuing to rise across Western Australia, choosing the right home loan can make a huge difference to your long-term financial comfort. As we move into 2026, first home buyers have access to a range of loan options and government support programs, each designed to help make homeownership more achievable.
What Is the Best Loan for a First Home Buyer?
The best loan for a first home buyer in Perth is one that balances affordability, flexibility, and stability, often through a split loan. Combining this with government support such as the First Home Guarantee or First Home Owner Grant can help buyers enter the market sooner and save money overall.
Understanding Your Loan Options
First home buyers in Perth can typically choose from three main types of home loans: variable rate loans, fixed rate loans, and split loans. Each type has unique benefits, depending on your financial situation and goals.
Variable rate loans
Variable rate loans are popular because of their flexibility. The interest rate can move up or down in line with the market, meaning your repayments may change over time. They usually allow extra repayments and offer features such as offset accounts and redraw facilities, which can help reduce interest over the life of the loan.
Fixed rate loans
Fixed rate loans lock in an interest rate for a set period, often between one and five years. This gives you certainty in your repayments and can make budgeting easier, especially in times of rising rates. The trade-off is that fixed loans are less flexible and may include fees if you try to pay them off early.
Split loans
Split loans combine both fixed and variable portions. This option gives you the stability of a fixed rate with the flexibility of a variable loan. Many first home buyers choose this approach to balance certainty and control.
Government Support for First Home Buyers
In 2026, several government schemes will continue to make it easier for first-home buyers in Perth to enter the market. The First Home Owner Grant (FHOG) offers $10,000 for eligible buyers who purchase or build a new home. Stamp duty concessions are also available for properties under certain thresholds, helping to reduce one of the biggest upfront costs of buying a home.
The First Home Guarantee (FHBG) remains another valuable option. It allows eligible buyers to purchase a home with as little as a 5 per cent deposit without paying Lenders Mortgage Insurance. This can save thousands of dollars and help you buy sooner.
What Makes a Loan the Best Choice?
The best loan for a first home buyer in Perth depends on your lifestyle, goals, and budget. A good loan should offer flexibility, competitive rates, and features that help you pay it off faster. It is also important to consider the lender’s service quality and whether they support government schemes like the FHBG.
Final Thoughts
In 2026, the best home loan for a first home buyer in Perth will be the one that matches your financial situation and future plans. Take time to compare options, seek professional advice, and ensure your loan gives you both security and flexibility. With the right choice, your first home can be the start of a strong financial foundation.