First Home Owner Grant Changes
NSW New Home Buyers Supplement
The NSW Treasurer has announced the NSW New Home Buyers Supplement has been extended to 30 June 2010.
A reminder to all FHOGS applicants:
We check that applicants have satisfied the residence requirements. The onus is on you as the applicant(s) to prove, when requested by us, that you have lived in the property as your principal place of residence within the specified 12 month period.
A new factsheet explaining the residence requirements for FHOGS and FHP is now available.
First Home Owner Grant Cap
From 1 January 2010, a $750,000 cap will apply to all applications where the commencement date of the eligible transaction is on or after 1 January 2010. Applicants who purchase or build a home which has a total value of more than $750,000 will not be eligible for the grant.
First Home Benefits
If you are buying or building your first home, you may be eligible for benefits under the First Home Owner Grant Scheme, NSW First Home Buyers Supplement, Australian Government First Home Owner Boost and the First Home Plus Scheme.
The Australian Government, as part of its phasing out of the Boost scheme, reduced the amount available for eligible transactions dated on or after 1 October 2009 and on or before 31 December 2009 by half. The Boost scheme will cease to be available for eligible transactions dated after 31 December 2009.
The NSW First Home Buyers Supplement will be available until 30 June 2010 and the $7,000 First Home Owner Grant and the First Home Plus schemes will continue to be available after 30 June 2010.
The following table identifies the grants available to first home owners during the stimulus period 14/10/2008 to 30/6/2010. The amount payable is determined by the date of your eligible transaction.
The total grant shown is in addition to any First Home Plus Duty exemption available to first home buyers. First Home Plus offers an exemption from duty of up to $17,990. When added to the grant payable, benefits up to $41,990 are available to first home owners in NSW.
The First Home Owner Grant, the NSW First Home Buyers Supplement and the First Home Plus schemes are fully funded by the NSW Government and together with the Boost scheme are administered by the Office of State Revenue.
Defence Force Exemption
The NSW Parliament has passed a specific bill for Australian Defence Force (ADF) personnel and exemptions for first home buyers.
The eligibility criteria have been amended to ensure currently serving defence personnel do not miss out on benefits available to other first home owners. These reforms will make it easier for defence personnel to realise the Australian dream of home ownership.
'The NSW Government has reformed the rules so the men and women protecting our country are not unfairly disadvantaged,' NSW Treasurer, The Hon. Eric Roozendaal, said.
A key regulation to the scheme is that a buyer must reside in the dwelling for six months, commencing within 12 months of settlement or construction of the home. This poses a problem for defence personnel who may be called away for duty at short notice. As a result, the legislation has been revised and permanent ADF members who are on the NSW electoral roll will now be exempt from the six month residence requirement. New South Wales is revising these residence provisions in order to give our servicemen and women one less thing to worry about while they are serving Australia's interests.
The New South Wales Government is committed to helping as many people as possible to buy their first home. They are about getting more young families into their first home than ever before and helping them to get on with establishing their lives.
NSW New Home Buyers Supplement
First home buyers in NSW who qualify for the First Home Owner Grant and are buying a newly constructed home or building their first home may be eligible for an additional $3,000 payment known as the NSW New Home Buyers Supplement.
The $3,000 NSW New Home Buyers Supplement is in addition to the First Home Owner Grant and the Australian Government’s First Home Owner Boost.
Refer to NSW New Home Buyers Supplement factsheet for further information.
Commonwealth’s First Home Owner Boost
The First Home Owner Boost scheme is an Australian Government Scheme to assist first home buyers purchase or build their first home. The scheme is administered by the NSW Government and is in addition to the $7,000 First Home Owner Grant.
The Australian Government announced changes to Commonwealth’s First Home Owner Boost in the Federal Budget on 12 May 2009.
For contracts made between 14 October 2008 to 30 September 2009 (inclusive):
first home buyers who purchase established homes will receive a boost of $7,000 that will double the grant to $14,000
first home buyers who build a new home or purchase a newly constructed home will receive an extra $14,000 to take their grant to $21,000.
For contracts made between 1 October 2009 to 31 December 2009 (inclusive):
first home buyers who purchase established homes will receive a boost of $3,500 that will take their grant to $10,500
first home buyers who build a new home or purchase a newly constructed home will receive an extra $7,000 to take their grant to $14,000.
Refer to First Home Owner Boost factsheet for information.
First Home Plus Scheme
The NSW First Home Plus Scheme provides generous exemptions or concessions on transfer duty for eligible first home buyers. This includes vacant land on which you intend to build your first home.
Proof of Identity requirements have been introduced for First Home Plus applicants.
First Home benefits received from 1 January 2009 to 31 December 2009
First home benefits received from 1 July 2000 to 31 December 2009
More information
