The current First Home Owners Grant (for homes in Victoria) is only paid on contracts entered into on, or after 1 July 2013 to BUILD or PURCHASE a NEW home. The amount you will receive if you qualify is a lump sum of $10,000. If you are eligible for the First Home Owners Grant you may also be eligible for the First Home Buyers Stamp Duty Concession!
In other words, if you are buying an existing home, you will receive no grant!! However you may still be able to receive the First Home Buyers Stamp Duty Concession, find out by clicking here….
The rules are different if you entered into a contract before 1 July 2013, so feel free to ask us what the difference is.
How do I know if I qualify?
In order to receive the grant you need to meet the following criteria:
- Price of the property or construction of the home must not exceed $750,000.
- You (or at least one applicant) must occupy the home as your/their principal place of residence for a continuous period of at least 12 months, commencing within 12 months of either settlement or completing of construction (the residency requirement)*.
- You and your spouse/partner have not received a grant in any State or Territory of Australia.
- You and your spouse/partner must not have owned residential property, either jointly, separately or with some other person prior to 1 July 2000, in any State or Territory of Australia.
- You and your spouse/partner must not have occupied for a continuous period of at least 6 months, a residential property in which either of you acquired a relevant interest on or after 1 July 2000 in any State or Territory of Australia.
- You must be a natural person (i.e not a company) and at least 18 years of age at the time of settlement or completion of construction.
- You (or at least one applicant) must be a permanent resident or Australian citizen at the time of settlement or completion of construction of the home.
What are eligible transactions?
- Entered into a contract of sale or agreement for the purchase of a new or off the plan home in Victoria; or
- Entered into a contract to build a home on their land in Victoria; or
- In the case of owner builders, commenced construction (laying of foundations) of a home on their land in Victoria.
Understanding the First Home Owners Grant is a great step towards purchasing your first home, the next step is finding out how much you can borrow to purchase that home. We can meet with you to discuss your situation and help you get a better understanding of what you can borrow. If you don’t think you are in a position to buy brand new or only have a small deposit, read our article about buying a house with a small deposit, you might require less than you think!