Do you have a family member, a friend or a colleague who is yet to purchase their first home and can benefit from receiving the First Home Owners Grant? With First home buyers on the decline and government paid grants on the incline, now might be a good time for first home buyers to consider buying a property.
The First Home Owners Grant (FHOG) is an amount paid as a lump sum to First Home Buyers by the state government to encourage and assist home ownership. The amounts, qualifying criteria and regulations differ from state to state and is listed in detail below. So how much does your state government pay?
New South Wales
The First Home Owners Grant (new homes) scheme in NSW is $15,000 and is available for purchases up to $650,000, and only to first home buyers purchasing or building a new home that has not been previously lived in or occupied.
In addition to this, first home buyers DO NOT pay government stamp duty for purchases up to $550,000, and pay discounted stamp duty up to $650,000. So for example by purchasing or constructing a new property for $550,000 you will receive $15,000 from the state government, and you will NOT have to pay the stamp duty of $20,538. This is saving/benefit to you totalling $35,538.
The Victorian First Home Owners Grant is available only for purchases of new or existing homes not exceeding $750,000. The grant amount is $10,000 for contracts signed after 1 July 2013, or $7000 signed previous to 1 July 2013. Stamp duty is payable for all home purchases.
The Great Start Grant is a Queensland Government initiative for new properties that haven't been lived in or occupied. You’ll get $15,000 towards buying or building a new house, unit or townhouse (valued at less than $750,000). You can even buy off the plan or choose to build yourself. Stamp duty is payable in QLD for all home purchases.
The SA First Home Owners Grant is $5000 which applies to the purchase of established residential homes, or $15,000 for the purchase or construction of new homes. In addition to this, Revenue SA will pay a Housing Construction Grant of $8500 to anyone building a new home valued up to $450,000. This is in addition to the First Home Owners Grant. So for example, if you were building a new home you will receive the $15,000 grant, plus $8500 housing construction grant. This is a total benefit/saving of $23,500. An Off-The-Plan concession is also available for apartments purchased Off The Plan.
As your mortgage adviser we can give expert advice and help guide you, your family, friend or colleague through buying their first home and taking full advantage of the government grants available.
All information is current at the time of writing. Please contact us for any recent changes and eligibilty.