First Home Owners Grant: Everything You Need To Know

If you’re looking to set foot on the property ladder, you may have come across the government’s First Home Owner Grant. To help you learn a little more about its purpose and to find out whether you’re eligible, we’ve put together some need-to-know basics below.

What is the First Home Owner Grant?

First introduced in 2000, it is a lump-sum grant paid out to first home buyers who build or invest in a new home. The terms of the scheme differ from state to state, with buyers in some areas enjoying higher pay-outs than others.

Am I eligible for a grant?

This depends on a number of factors, including the initial value of your home and whether you intend to live in the property once it has been built.

Generally speaking, you must fit into all of the following categories:

  • An individual buyer (as opposed to a company or organisation)
  • Aged over 18
  • An Australian citizen or permanent resident (or, at least, another of the buyers must be)
  • You will live in the residence for a minimum term determined by your territory or state
  • The market value of your home does not exceed a limit determined by your territory or state

If you or your partner fit into one of the following categories, you will not be eligible for a grant:

  • You have already received a First Home Owner Grant
  • You have previously owned property in Australia

It is worth noting that these are very general guidelines, and you will need to research the terms set out by your territory or state before applying for a grant. As we serve customers in and around Port Macquarie, we can tell you that applicants in New South Wales are subject to the following rules:

  • First homeowners can claim grants of $10,000 for purchasing new properties that do not exceed the value of $600,000 or for building new homes worth up to $750,000
  • Buyers must live in their new property for a least six months within the first year of its completion.
  • If the property in question is valued at less than $65,000, buyers do not have to pay stamp duty.
  • If the property in question is between $650,000 and $800,000, buyers are eligible for a stamp duty discount.

How can I apply for a grant?

Once you have determined your eligibility, you will need to gather evidence that you fit into the categories listed above. This could include a wide range of documents such as a citizenship or birth certificate, a passport, and marriage certifications. If you have enlisted the services of an approved agent, they will guide you through the completion process. If not, you will need to fill out a number of complex forms.

Need help with your application? We’re here to help

By far the easiest way to get on the property ladder and secure a First Home Owner Grant is to enlist the services of a friendly real estate agent. This is where Percival Property comes in. We offer premium advice and support services to help buyers find their dream homes in Port Macquarie and area. Get in touch today to find out more and discuss your options with a dedicated agent.

First Home Owners Grant check eligibility