first home buyers

Effective from 1 July 2009 (subject to Federal Government approval) the First Home Owner Grant will be capped and only be available for properties valued up to $750,000.

If you are buying or building your first home, you may be eligible for benefits under the First Home Owner Grant Scheme and/or the First Home Plus Scheme.

The First Home Owner Grant Scheme is fully funded by the NSW Government and administered by the Office of State Revenue. The Scheme was established to assist eligible first home buyers to purchase their first home by offering a $7000 grant.

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.

There are no income or assets tests to qualify for the benefits.

Eligibility criteria:

• Each applicant is a natural person and not a company or trust.

• At least one 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 1 July 2000.

• All applicants and/or their spouse/de facto have not owned on or after 1 July 2000 a residential property and occupied that property jointly, separately or with some other person in any State or Territory of Australia for a continuous period of at least six 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.

• This is the first time an applicant and/or their spouse/de facto will receive a grant under the First Home Owner Grant Act 2000 in any State or Territory (unless subsequently repaid).

• At least one applicant will occupy the home as their principal place of residence for a continuous period of at least six months, commencing within 12 months of settlement or construction of the home.

factsheet: First Home Benefits

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 will be eligible for an additional $3,000 payment known as the NSW New Home Buyers Supplement.

The $3,000 New Home Buyers Supplement is in addition to the $7,000 First Home Owner Grant and the Australian Government’s $14, 000 First Home Owner Boost. With the NSW Government’s New Home Buyers Supplement Scheme, first home buyers of new homes will receive maximum benefits of up to $24,000.

Both the First Home Owner Grant and the New Home Buyers Supplement are fully funded by the NSW Government.

factsheet: NSW New Home Buyers Supplement

The Australian Government has announced a First Home Owner Boost, which supplements the NSW Government funded First Home Owner Grant Scheme. According to the announcement from the Commonwealth:

• 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.

factsheet: First Home Owner Boost