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What is the first home owner grant?

What is the first home owner grant? 

Buying your own home has long been the Aussie dream, but it’s a dream that comes with a large price tag. Fortunately, the First Home Owner Grant (FHOG) exists to make the home ownership dream that much more attainable for eligible first home buyers by providing them with a one-time payment.

The FHOG has undergone many changes since its inception in 2000 and is now directed toward new or substantially renovated houses. The grant differs across the states and territories, with each region having its own eligibility criteria needing to be met by all applicants. 

Below is a summary of what’s available in each state and territory. For more information be sure to check out the links for the region relevant to you.

New South Wales

$10,00 is available when purchasing or constructing new homes. To be eligible, the newly constructed residence needs to be valued at less than $600,000; If building, the combined value of the house and land must be less than $750,000.

Stamp duty exemptions are available for houses valued at less than $650,000, or for vacant blocks valued less than $350,000. Concessions are available for homes valued between $650,000 and $800,000, or for vacant blocks valued between $350,000 and $450,000.

Read more at http://www.osr.nsw.gov.au/benefits/first_home/

Queensland

FHOG of $15,000 is available to purchase or build new homes valued at less than $750,000.

Stamp duty concessions can be accessed when buying a house worth less than $550,000, or a block less than $400,000.

For more information see https://www.qld.gov.au/housing/buying-owning-home/financial-help-concessions/qld-first-home-grant

Victoria

A grant of $10,000 is attainable when purchasing or building a new residence in metropolitan Melbourne, valued at less than $750,000. While $20,000 is available for homes of the same value in regional Victoria.

Homes valued at less than $600,000 are exempt from stamp duty, while homes valued above this amount up to $750,000 are eligible for a concession.

Details at http://www.sro.vic.gov.au/

Australian Capital Territory  

A new or substantially renovated home worth up to $750,000 will attract a $7,000 grant.

Stamp duty exemptions apply if the buyers live in the home continuously for 12 months, have not owned a property in the last two years, are over 18, and have a combined income less than the specified threshold (the threshold varies between $160,000 and $176,650 depending on how dependent children are present. 

More information at http://www.revenue.act.gov.au/home-buyer-assistance/first-home-owner-grant

South Australia

$15,000 is obtainable for new homes up to the value of $575,000 being purchased or built.

No stamp duty concessions apply specifically for first home owners in SA, but the stamp duty payable on a new or refurbished apartment will be capped at a $500,000 valued apartment.

Find more information at http://www.revenuesa.sa.gov.au/

Tasmania

$20,000 can be secured for buying or building a new home. From 1 July 2020, the grant will reduce to $10,000.

Properties valued at less than $400,000 attract a 50% stamp duty discount.

More details available at http://www.sro.tas.gov.au/

Western Australia

FHOG of $10,000 applies for purchasing or building a new home up to the value of either $750,000 or $1 million, depending on the location.

Stamp duty exemptions are available for homes valued at less than $430,000 and land worth less than $300,000. Concessions are available for values above these amounts up to $530,000 for homes and $400,000 for land.

See more at http://www.finance.wa.gov.au/cms/State_Revenue/FHOG/First_Home_Owner_Grant.aspx

Northern Territory 

$10,000 is available to buy or build a new home up to any value.

A stamp duty discount of up to $18,601 can be attained through the Territory Home Owner Discount (THOD).

More info at http://www.revenue.nt.gov.au/

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