Why first home buyers have to act fast in Sydney's new and off the plan apartment market

The rising cost of construction, combined with significant growth in Sydney’s property market, means first home buyers looking to get a foothold on the property ladder need to act quickly in the new apartment market.

In 2023, the NSW Government increased the concessional stamp duty threshold to $800,000. This means first home buyers purchasing a new or off-the-plan apartment below this threshold pay no stamp duty — a saving of up to $31,090.

However, due to escalating construction costs, fewer apartment towers are being built. As a result, there’s a reduced supply of one-bedroom apartments in the market — the configuration type most likely to fall under the $800,000 threshold.

This means first home buyers must move fast when new developments are released with apartments priced below $800,000. These opportunities are becoming increasingly rare and are now also attracting serious interest from investors. While investors don’t benefit from the stamp duty concession, they are buying in an environment of falling interest rates, rising property prices, and rents at or near historic highs.

In this article, we've rounded up the top six new developments across Greater Sydney that has apartments that fall under $800,000 and make sense for first home buyers.

What: Auburn Square

Where: 26-36 Northumberland Road, Auburn NSW 2144

Who: Tian An LFD

Priced from: $540,000

Tian An recently launched the next phase of its award-winning Auburn Square precinct, with prices starting from $540,000.

The new stage, North Village, will comprise 264 apartments across a striking Rothelowman-designed building, above a new Coles supermarket and cafe.

Over 25 per cent of the new apartments were snapped up on its recent launch, driven by first home buyers, young professionals, and local rightsizers.

North Village is the only new development in Auburn to offer the sought-after Latent Defects Insurance by Resilience Insurance. This insurance provides buyers with up to 10 years of coverage for any structural or waterproofing issues—not just in the building and common areas, but also within their individual apartments. It’s the most rigorous insurance available to developers, giving buyers genuine peace of mind when purchasing off the plan.

iCIRT rated builder Binah is on site and is expecting to complete the building in 2027.

What: Central Quarter

Where: 242-252 Pitt Street, Merrylands NSW 2160

Who: Northland

Priced from: $598,700

Veteran developer Northland Group is also offering price-pointed apartments in their recently launched Merrylands development, Central Quarter.

Also with the Latent Defects Insurance policy, Central Quarter offers 194 one-, two-, and three-bedroom apartments next to Merrylands Station, bus interchange, and Stockland Merrylands retail centre.

Northland is also bringing doorstep convenenience to its podium levels in the form of a fast food operator, a 24/7 gym, and a childcare centre.

The builder-developer is well underway in the construction phase and is expecting to welcome buyers in the middle of 2026.

What: Horizon Hurstville

Where: 6 Jack Brabham Drive, Hurstville NSW 2220

Who: One Collection

Priced from: $657,000

Another developer who has timed their launch to coincide with significant progress in the build is One Collection, who has recently launched Horizon Hurstville, in the heart of the connected south Sydney suburb.

Horizon is the final building within a wider precinct which already features a Woolworths supermarket and direct access to Kempt Field.

It’s the park and convenience that underpin Hurstville’s strong Walk Score of 81 — a number set to improve with the arrival of St Clair Lane, a new retail laneway soon to be activated by hospitality, health, and lifestyle businesses.

Above St Claire Lane, 179 one-, two-, and three-bedroom apartments are now available, priced well under the threshold for first home buyers to pay no stamp duty.

What: Dawn, Melrose Park

Where: 82-84 Wharf Road, Melrose Park NSW 2114

Who: Sekisui House Australia

Priced from: $639,000

Sekisui House Australia has seen a wave of first home buyers at its latest stage of its Melrose Park masterplan, Dawn.

Priced from $639,000, the 368 apartments sit the closest to the new park being delivered by Sekisui. GroupGSA has designed the apartments to take in as much of the natural surroundings as possible. 

There are one, two and three-bedroom apartments on offer, as well as luxury penthouses with private rooftop terraces.

Dawn’s prime location close to the future Melrose Park High School, Parramatta Light Rail Stage 2 connection and Melrose Park Town Centre as well as extensive parklands, make it a popular choice with purchasers.

What: Melrose Central

Where: 33 Hope Street, Melrose Park NSW 2114

Who: Deicorp

Deicorp also has seen a significant number of first home buyers at their slice of Melrose Park.

Their new development, Melrose Central, is a $700 million joint venture with Payce and will feature a mixed-use project that will deliver around 500 apartments above a substantial 30,000 sqm retail podium anchored by Coles.

The site’s early stages are already under construction, with completion of the first three towers expected by mid-2027.

Design is led by Turner Studio, and the broader precinct will benefit from a new Parramatta Light Rail stop, connecting residents to Olympic Park, Parramatta, and Sydney Metro West in the years ahead.