ATTENTION FIRST HOME BUYERS - JULY 1 IS FAST APPROACHING.
Getting into the property market is an investment for life but not always an easy market to crack into. From July 1, the dream of home ownership will become a little easier.
Have yourself an extra $10,000
The changes to the First Home Owners Grants (FHOG) come into play for contracts signed for new homes from July 1 until 30 June 2020 and will see FHOG's doubled from $10,000 to $20,000 for those eligible.
So what is classified as a new home?
- A newly built home.
- An existing property which is being sold for the first time as a new residential premises.
- A land and building package.
- Vacant land on which you will build a new home.
Also, it must be under $750,000.
But wait, there's more.
If the $20,000 FHOG wasn’t enough, the government has wiped stamp duty if you’re buying a property under $600,000. What is stamp duty and how much is this going to save you? If you're buying a $300,000 home it could save you an additional $11,370 in fees (check the State Revenue Office calculator for a more accurate figure to match your circumstances here)
How do we see this playing out?
We've got a wealth of experience in helping our First Home Owner clients through the grants process and providing them with advice. We've seen a number of clients in the past few weeks ramp up their search and start reviewing contracts with a view of pulling the trigger from July 1.
So we may see the property market slow down a little for the month of June, and pick back up in July, particularly for those homes eligible for First Home Owners Grant.
So what can I be doing right now?
If you're planning on going down the FHOG path then you're looking to save yourself a lot of money. That’s cause for celebration, so to help kick off the party, any new contract signed by first home owners in the month of July will receive a bottle of Gippsland wine (red or white) - click here to claim yours.
But it's important not to wait until July 1; we can start talking through your contracts, options and how the FHOG grant works today.
Let us know a time that works for you, we can catch up in person or over the phone. Either email firstname.lastname@example.org, give us a call or message our Facebook page and we'll get this exciting process started together. You’ll be celebrating and drinking that wine in no time!
For more information on eligibility, see the State Revenue Office http://www.sro.vic.gov.au/first-home-owner#fhog