The purchase of your first home is an exciting time in your life. It is also one of the largest investments you will ever make- that’s why it is important to get the right advice on all aspects of your first purchase. As you are no doubt aware the NSW government offers assistance to those purchasing their first property.
Our conveyancing and property lawyers can help you in all aspects of your purchase, including the application process for the first home owners grant. We also offer low flat fees for our conveyancing services. Feel free to call us on (02) 9521 2222. You can also send your enquiry online now and we will contact you shortly.
The NSW Government provides eligible purchasers with a $7,000.00 grant to buy their first home. In addition to this amount, the Australian Government have introduced a First Home Owners Boost Scheme which increases the amount of Grant depending on the time when you enter into the contract to purchase your new home and the type of property being purchased. A further Supplement has also been introduced by the NSW government for purchasers of a newly constructed home. A summary of the Grant, Boost and Supplement is set out below:
Purchasing established home
|
Date of Contract
|
Grant
|
Boost
|
Supplement
|
Total
|
|
14 October 2008 – 30 September 2009
|
$7,000
|
$7,000
|
Nil
|
$14,000
|
|
1 October 2009 – 31 December 2009
|
$7,000
|
$3,500
|
Nil
|
$10,500
|
|
31 December - TBA
|
$7,000
|
Nil
|
Nil
|
$7,000
|
Purchasing newly constructed home
|
Date of Contract
|
Grant
|
Boost
|
Supplement
|
Total
|
|
14 October 2008 – 30 September 2009
|
$7,000
|
$14,000
|
$3,000
|
$24,000
|
|
1 October 2009 – 31 December 2009
|
$7,000
|
$7,000
|
Nil
|
$14,000
|
|
31 December - TBA
|
$7,000
|
Nil
|
Nil
|
$7,000
|
To be eligible for the Grant and Boost you must satisfy a number of requirements including:
We can advise you if you meet the eligibility requirements of the Grant, Boost and Supplement and assist you to lodge these documents with the Office of State Revenue. Contact our Conveyancing and property solicitors on (02) 9521 2222.
Stamp Duty Exemption
The purchase of residential property in NSW attracts stamp duty. Where a loan is obtained for the purchase of a property and secured by a mortgage, this duty will need to be paid on the settlement of the purchase.
In addition to the First Home Owners Grant the NSW Government has established the First Home Plus Scheme and First Home Plus One Scheme.
The First Home Plus Scheme provides an exemption to the payment of stamp duty for eligible first home owners purchasing a property up to $500,000.00 ($300,000.00 for vacant land) and a concession on stamp duty for first home owners purchasing a property valued between $500,000.00 and $600,000.00 ($300,000.00 - $450,000.00 for vacant land). This equates to a saving of $9,000.00 for a property valued at $300,000.00, $13,500.00 for a property valued at $400,000.00 and $18,000.00 for a property valued at $500,000.00.
The eligibility requirements for the First Home Plus Scheme are similar to those of the First Home Owners Grant, although unlike the Grant, the First Home Plus Scheme requires that purchasers and their spouse to have never owned residential property in Australia (the Grant allows such provided that the property was not purchased prior to July 2000 and provided the property was not owner occupied).
The First Home Plus One Scheme allows for purchasers to buy residential property with another purchaser who is not an eligible person and still receive a stamp duty concession.
A full list of the eligibility requirements of the First Home Owners Grant, Boost, Supplement and First Home Plus Scheme can be found at the Office of State Revenues website on www.osr.nsw.gov.au
How can Prime Lawyers help you?
At Prime Lawyers we offer low flat fees for first home owners and guide you through every step of the way to ensure that the process is trouble free. Our advice includes preparation of the First Home Owners Grant and Stamp Duty Exemption Applications, organising pre-cooling off inspections, advice on the Contract for Sale – terms and conditions and suggested amendments, liasing with your bank about your loan proceeds and attending settlement to ensure you can move into your new home.