Update on Grants and Exemptions available to Homebuyers in NSW

For First Home Buyers
Between 1 July 2012 and 1 October 2012 the following is available to First Home Buyers

• A Grant of $7,000.00 is available for a purchase of up to $835,000.00.
• An exemption from stamp duty is available for New Homes or substantially renovated homes only.
• First Home Buyers purchasing an existing home or unit are not entitled to any stamp duty relief.

From 1 October 2012 the following is available to First Home Buyers
* The previously existing FHOG is replaced with FHOG (New Home) Scheme and:

• Applies only to First Home Buyers who purchase or build a NEW home;
• Applies only where the value of the new home is less than $650,000.00;
• The Grant available is $15,000.00 from 1 October 2012 to 31 December 2013 and $10,000.00 after 1 January 2014;

Stamp Duty exemptions apply as follows:

• Full exemption for new home up to $550,000.00
• Concessions apply for new homes between $550,000.00 and $650,000.00
• Full exemption for vacant land up to $350,000.00 (providing you have the intention to build)
• Concessions apply for vacant land between $350,000.00 and $450,000.00 (providing you have the intention to build).

New Home Grant
* Applies to purchasers of new homes (or substantially renovated homes) or purchasers of vacant land (other than First Home Buyers) for building where contract is dated after 1 July 2012:

• A Grant of $5,000.00 is available for a purchase of a new home up to $650,000.00
• A Grant of $5,000.00 is available for a purchase of vacant land up to $450,000.00
• A Grant of $5,000.00 is available for an off the plan purchase.

Home Builders Bonus (Stamp Duty exemptions)
*Applies to new homes or vacant land only and is available on Contracts dated up to and including 30 JUNE 2012.

• A Full exemption from stamp duty applies for vacant land, where building will have commenced within 6 months of contract completion
• No exemption from stamp duty is available for vacant land "off the plan"
• A full exemption from stamp duty is available for house and land where the building has not yet commenced
• A concession on stamp duty of 25% is available for house and land where the building has commenced but not complete
• For seniors (>55 years), a full exemption on stamp duty is available regardless of whether the building has commenced, as long as:

• You have owned a home within the last 12 months, and you have (or will have) disposed of it within 6 months;
• You must move into the home as your Principal Place of Residence within 12 months.

Regional Relocation Grant
*Available between 1 July 2011 and 30 June 2015 - a Grant of $7,000.00 is available if:

• You have owned a home in a metropolitan area within the last 12 months, and you have (or will have) disposed of it within 12 months;
• You must move into the regional home as your Principal Place of Residence within 12 months.
• You purchase vacant land not exceeding $450,000.00 and meet the residency requirements.
• You take a long term lease (eg retirement village unit) where the ingoing contribution does not exceed $600,000.00 and meet the residency requirements.

All grants and exemptions are based on purchasers meeting the Office of State Revenue eligible criteria. 23 July 2012