First Home Owner’s Grant

First Home Owner’s Grant

The First Home—New Home Scheme provides eligible purchasers with exemptions on transfer duty on new homes valued up to $550,000 and concessions on duty for new homes valued between $550,000 and $650,000.

First Home Benefits for transactions dated on or before 30 September 2012

  • $7,000 First Home Owner Grant where the commencement date of the eligible transaction is on or before 30 September 2012.
  • Exemptions and concessions on duty under First Home—New Home on agreements or transfers executed on or after 1 January 2012 and up to 30 June 2012.

First Home Owner’s Grant

  • The First Home Owner Grant (New Homes) Scheme is fully funded by the NSW Government and administered by us. The scheme was established to assist eligible first home owners to purchase a new home or build their home by offering a grant. The grant applies to new homes only and does not apply to the purchase of an established home, vacant land, business premises or a holiday house.
  • Your eligibility is determined by the facts and circumstances as at the commencement date of the eligible transaction. This is the date of the contract to purchase or build a home or, for an owner builder, the date the foundations commenced to be laid.

To qualify for the First Home Owner Grant, you must meet the following eligibility criteria:

  • Each applicant is a natural person and not a company or trust, At least 1 applicant is a permanent resident or Australian citizen. Each applicant must be at least 18 years of age.  All applicants and/or their spouse/de facto have not owned a residential property, jointly, separately or with some other person, in any State or Territory of Australia before July 2000.  All applicants and/or their spouse/de facto have not previously owned a residential property jointly, separately or with some other person in any State or Territory of Australia and occupied that property for a continuous period of at least 6 months.
  • Each applicant has entered into a contract for the purchase of a home or signed a contract to build a home on or after 1 July 2000. In the case of an owner-builder, laying of the foundations commenced on or after 1 July 2000. The total value of the property does not exceed the cap amount for eligible transactions which commenced on or after 1 January 2010. The cap amount is reviewed annually and the cap applicable to your application is determined by the commencement date of the eligible transaction. This is the date of the contract to purchase or build a home or, for an owner builder, the date the laying of foundations commenced.

How to Apply

You can apply for the First Home Owner Grant through your financial institution or the NSW Office of State Revenue. Applications lodged with financial institutions will have the grant available for settlement or for the first draw down on contracts to build.

To calculate the First Home—New Home concession on a home between $500,000 and $600,000, multiply the purchase price by 0.2249 and subtract $112,450.

For Example the Concession on a New Home valued at $550,000 would be $11,245.00

First Home Owner Grant (New Homes) for eligible transactions dated on or after 1 July 2017

* The $10,000 First Home Owner Grant (New Homes) is available where the eligible transaction commencement date is on or after 1 July 2017 and the eligible transaction is for the purchase or construction of a new home.

First Home Owner Grant (New Homes) for eligible transactions dated on or after 1 January 2016 to 30 June 2017

* The $10,000 First Home Owner Grant (New Homes) is available where the eligible transaction commencement date is on or after 1 January 2016 and the eligible transaction is for the purchase or construction of a new home.

STAMP DUTY – Transfer of land

Stamp duty is part and parcel of buying property in Australia.

It is a tax, which varies state to state, it’s unfortunately, an inescapable step in the process of buying property in Australia.  It is roughly 4% of the purchase price of the property in NSW.  E.G. If the purchase price is $800,000.00 the stamp duty payable will be $32,000 which is a hefty sum to factor into the purchase of your property.

Off The Plan Purchases – From 1 July 2017, all residential purchases by investors will be excluded from the 12 month off the plan transfer duty liability deferral.

Chris Coombes