Definitions
A
- Applicant
A person applying for a grant who, on completion of the purchase of a home or construction of a new home, will own or hold a relevant interest in the land on which the home is built, except for a small interest holder.
- Approved agent
An organisation approved by OSR that is authorised to process applications for the First Home Owner Grant.
- Australian citizen
As defined in the Australian Citizenship Act 1948 of the Commonwealth.
B
C
- Commencement date of the eligible transaction
Date of contract to purchase or build a home, or for an owner builder – date the foundations commenced to be laid.
- Completion of the eligible transaction
When the applicant is entitled to possession of the property under the contract, or the eligible building is ready for occupation as a place of residence and (except for Terms contracts) the applicant is registered on the certificate of title.
- Comprehensive home building contract
The contract under which a builder undertakes to build a home on land. It includes all work from the start to the point where the home is ready for occupation. If for any reason, the work to be carried out under such contract is not completed, this definition also includes any further contract under which the work is to be completed.
- Consideration
The total amount paid for the purchase or construction. This does not include stamp duty and may not be the market value of the property.
- Contract to build
A comprehensive building contract where a builder agrees to build a home, from the time the building starts to when it is finished and is ready for occupation.
- Corresponding law
The law in another Australian State or Territory corresponding to this Act.
D
E
- Eligibility criteria
The criteria used for determining if an applicant is eligible for the First Home Owner Grant under the First Home Owner Grant Act 2000.
- Eligible transaction
An eligible transaction is a contract made on or after 1 July 2000 for the purchase of a home in NSW, or a) a comprehensive home building contract made on or after 1 July 2000 by the owner of land in NSW, or by a person who will on completion of the contract be the owner of land in NSW, to have a home built on the land, or (b) the building of a home in NSW by an owner builder if the building work commences on or after 1 July 2000. A contract is a contract for the purchase of a home if it is a contract for the acquisition of a relevant interest in land on which a home is built or is to be built under the contract by or on behalf of the vendor. However, a contract made on or after 1 July 2000 is not an eligible transaction if: (a) in the case of a contract to purchase a home, the purchaser had an option to purchase the home granted before that date or the vendor had an option to require the purchaser to purchase the home granted before that date, or (b) in the case of a comprehensive building contract, either party had a right or option granted before that date to require the other party to enter into the contract.
- Established home
A home that has been previously occupied and is lawfully fit for occupation.
- Expected date of occupancy
Date the applicant anticipates moving into the home they have purchased or built.
F
G
- Guardian
A trustee who holds property on trust for a person under legal disability. This can also be an instrument of trust or by order or direction of court or tribunal.
H
- Home
Is a building affixed to land that may lawfully be used as a place of residence, and is, in the Chief Commissioner's opinion, a suitable building for use as a place of residence.
I
J
K
L
M
N
- Natural person
A person (does not include a company or trust).
- New home
A home that has not previously been lived in or sold as a place of residence, including off the plan and house and land packages.
- Notifiable event
When any part of the eligibility criteria is not met, the applicant(s) must notify the Chief Commissioner within 14 days of the event. An example would be where an applicant is not able to satisfy the residence requirement or where the total value exceeds $750,000.
O
- Off the plan
A contract for the purchase of the home on a proposed lot in an unregistered plan of a subdivision of land.
- Owner
A person is considered to be an owner if they have a relevant interest in the land on which the home is built. See definition of relevant interest below.
- Owner builder
A person who owns land and builds a home on the land they own without entering into a comprehensive home building contract.
P
- Permanent forces of the Australian Defence Force
Permanent forces of the Australian Defence Force comprises of members of the Regular Army, the Permanent Navy or the Permanent Air Force. It does not include a reservist for the Army, Navy or Air Force.
- Permanent resident
The holder of a permanent visa within the meaning of Section 30 of the Migration Act 1958 of the Commonwealth, or a New Zealand citizen who is the holder of a special category visa (under Section 32 of the Migration Act 1958).
- Principal place of residence
The home you primarily reside in.
- Purchase price
The consideration for an eligible transaction is:
in the case of a contract for the purchase of a home the consideration for the purchase, or
in the case of a comprehensive home building contract, the total consideration payable for the building work, or
in the case of the building of a home by an owner builder, the actual costs to the owner of carrying out the work (excluding any allowance for the owner builder's own labour).
Q
R
- Related or associated party
A person is related to or associated with another party when:
a) one is the spouse/partner of the other, or
b) they are related by blood, marriage or adoption, or
c) they are a shareholder or director of the other party, being a company, or
d) they are a beneficiary of a trust for which the other party is a trustee, or
e) the transaction is otherwise not at arm’s length.
- Relevant interest
Any interest in a home, including an estate in fee simple, a life estate, a leasehold interest from the Crown.
An estate in fee simple in the land,
A life estate in land approved by the Chief Commissioner,
A perpetual lease of the land granted by the Commonwealth or State,
A leasehold interest in the land granted by the Commonwealth or State that may be converted under the terms of the lease or by statute into an estate in fee simple,
An interest as purchaser under a contract for the purchase from the Commonwealth or State of an estate in fee simple in the land by instalments,
A license or right of occupancy granted by the Commonwealth or State that gives, in the Chief Commissioner's opinion, the licensee or the holder of the right reasonable security tenure,
An interest in a company's shares if the Chief Commissioner is satisfied that:
(i) the interest entitles the holder of the interest to exclusive occupation of a specified home owned by the company, and
(ii) the value of the shares is not less than the value of the company's interest in the home. Further information on what is considered to be a relevant interest can be obtained by contacting us.
- Residence requirement
At least one applicant must reside in the home as their principal place of residence for a continuous period of at least six months commencing within 12 months of completion of the eligible transaction.
- Residential property
Land in NSW is residential property at a particular time if there is, at that time, a building on the land lawfully occupied as a place of residence or suitable for occupation as a place of residence. This includes houses, townhouses, units, flats, duplexes, converted warehouses, fixed moveable homes and kit homes.
S
- Spouse
A person is the spouse of another person if they are legally married, or they are living together as a couple in a de facto relationship within the meaning of the Interpretation Act 1987.
If the Chief Commissioner is satisfied that, at the time of deciding an application for a first home owner grant, an applicant is legally married but not cohabiting with the person to whom the applicant is legally married, and has no intention of resuming cohabitation, the person to whom the applicant is legally married is not to be regarded as the applicant's spouse.
Note: There is no minimum period of cohabitation which defines a de facto marriage under the Interpretation Act 1987.
- Small interest holder
A person whose ownership share in the home does not exceed 5%. Where there is more than one small interest holder, the total ownership share of all small interest holders does not exceed 5%.
T
- Terms contract
A contract for the sale of land where the purchaser has to make 2 or more payments (excluding the deposit) to the vendor after the contract is signed by all parties.
The applicant as the purchaser must be in possession under the contract and cannot be registered on title until the final payment is made to the vendor.
- Title search
A search on the land which shows the names of the registered owners. A title search can be obtained from the NSW Land and Property Information website.
- Total value
Contract to purchase a home, the total value is the greater of the following:
The consideration for the eligible transaction,
The unencumbered value, as at the commencement date of the eligible transaction
Contract to build, the total value is calculated by adding together:
The consideration for the eligible transaction, and
The value, at the commencement date of the relevant interest in the land on which the home is to be built
Owner builder, the total value is calculated by adding together:
The unencumbered value of the home at the date the transaction is completed, and
The value, at the date the transaction is completed, of the relevant interest in the land on which the home is built.
U
- Unencumbered value
The total value of the property determined without regard to any encumbrance (eg mortgage) to which the property is subject, or any arrangement that results in the reduction of the value of the property (eg child purchasing home from parents at a reduced price). Please refer to the First Home Owner Grant Act 2000 for the full definition of unencumbered value.
V
W
X
Y
Z
