Information for First Home Buyers
First Home Owners Grant
The First Home Owner Grant (New Homes) Scheme is fully funded by the NSW Government and was established to assist eligible first home owners to purchase a new home or build their home by offering a $15,000 grant. The grant applies to new homes where the contract commencement date is on or after 1 October 2012 and the contract is for the purchase or construction of a new home. The grant will reduce to $10,000 on 1 January 2016.
Under the scheme, a grant is payable to first home owners that satisfy all the eligibility criteria.
Detailed information and relevant conditions about the First Home Owner Grant (New Homes) Scheme is available from www.firsthome.gov.au
A summary of the first home benefits is now on YouTube
First Home – New Home
In addition to the First Home Owners Grant, the First Home—New Home scheme provides exemptions or concessions on transfer duty for people who are buying their first home in NSW. This includes buying vacant land on which they intend to build their first home.
Since 1 July 2012 eligible purchasers buying a vacant block of residential land to build their home on will pay no duty on vacant land valued up to $350,000. As an example, stamp duty on a $140,000 land purchase would normally be $3,390.
More details and the eligibility requirements can be found at First Home – New Home
($140,000 land = $3,390 stamp duty www.osr.nsw.gov.au)
When budgeting for your first home, remember to include stamp duty costs. Stamp duty on an existing home is approximately 15% of the value of the property. Under a Government initiative new buildings will have the stamp duty waived. This is applicable to both first homebuyers and investors.