First Home Owners Grant

What is the First Home Owner Grant?

The First Home Owner Grant scheme offsets the effect of the GST on home ownership by providing a grant to first homeowners. It is a one-off payment made by the Federal Government, and an additional one-off payment made by the State Government, to assist eligible first home owners with purchase or construction costs.

In the recent Victorian State Budget, the Victorian Government extended and increased the First Home Bonus (the Bonus) for newly constructed homes in metropolitan Melbourne and regional Victoria.

The amount of the Bonus for a new home in metropolitan Melbourne increases from $11,000 to $13,000, and a new home in regional Victoria increases from $15,500 to $19,500.

These bonuses are in addition to the $7,000 Federal Government First Home Owners Grant (FHOG) and bring the total amounts available to first home buyers of a newly constructed home to $20,000 (for a home in metropolitan Melbourne) and $26,500 (for a home in regional Victoria).

The new amounts apply to eligible transactions with a commencement date of on or after 1 July 2010 and on or before 30 June 2011.

The Bonus amount for the purchase of an established home, currently $2,000, expired on 30 June 2010.

For more information press here.

Am I eligible for the Grant?

As a basic rule, you are eligible if you are an Australian citizen or permanent resident, buying or building your first home in Australia, with the intention of occupying it as your principle place of residence within 12 months of settlement. It is important to note that if you are buying the property in conjunction with others, they must also meet the same criteria for the grant to be applicable.

Contact us to find out if you are eligible today.