Changes to the First Home Owners’ Grant and Stamp Duty Concessions have been announced by the NSW Treasurer, the Hon. Michael Bruce Baird, MP as part of the 2012 NSW State Budget.
The New Home Grant Scheme is part of these changes and is a grant available from 1 July 2012 and aim to create incentives to buy new homes, whether built or off the plan. The New Home Grant Scheme is a grant of $5,000.00 and is no longer just restricted to first home buyers.
The First Home Owners’ Grant (New Home) Scheme also replaces the old First Home Owner’s Grant. The grant is up to $15,000.00 and is now only available for the purchase of new homes and starts from 1 October 2012. This means that first home buyers only have a very limited time (until the end of September 2012) to purchase an existing home to be able to take advantage of the current $7,000.00 grant available to first home buyers before this new scheme comes in.
Changes to stamp duty concessions have also been announced for purchases of new homes increases to $550,000.00 (with concessions on stamp duty for purchases of new homes valued between $550,000.00 to $650,000.00). Further details can be found below.
New Home Grant Scheme
• From 1 July 2012
• For purchase of new home, whether off the plan or newly build up to the value of $650,000.00
• Also available for purchase of vacant land (intended to be the site of new home) up to the value of $450,000.00
• Grant of $5,000.00
• You do not need to be a first home buyer
First Home Owner Grant (New Home) Scheme
• Only applies to first home owners
• Only for the purchase of a new home up to the value of $650,000.00
• Grant increases from $7,000.00 to $15,000.00 from 1 October 2012 to 31 December 2013.
• From 1 January 2014, grant is reduced to $10,000.00
Stamp Duty Changes
• Stamp duty exemption on purchases of new homes increases to $550,000.00 (with concessions on stamp duty for purchases of new homes valued between $550,000.00 to $650,000.00)
• Stamp duty exemption on purchases of vacant land increases to $350,000.00 (with concessions on stamp duty for purchases of vacant land valued between $350,000.00 and $450,000.00)