HomeBuilder might have come and gone, but there are still plenty of first home buyer incentives out there to take advantage of! Forget FOMO, take advantage of these incentives to help secure your first home at Willow.
First Home Owner Grant
Since Willow is located in Geelong, which is considered part of regional Victoria, home buyers building their dream home in our Mt Duneed estate are entitled to a $20,000 First Home Owner Grant. The grant is available for first home buyers who sign a contract before 30 June 2021 and meet a few key eligibility requirements.
- The total value of the property must not exceed $750,000
- The property must not have been previously sold as a place of residence, occupied as a home, or used for the provision of short-term accommodation
- You and your partner must not have previously purchased a home in Australia or received a First Home Owner Grant.
- One of the applicants must be a permanent Australian resident. You must live in the home for a period of 12 months
- You are 18 or over.
First Home Loan Deposit Scheme
Last year, the federal government introduced the First Home Loan Deposit Scheme, which aimed to help buyers purchase a first home sooner. Under the Scheme, eligible first home buyers can purchase or build a new home with a deposit of as little as 5 per cent rather than the usual 20 per cent required! Usually, first home buyers with less than a 20 per cent deposit need to pay lenders mortgage insurance, which on a home valued at $550,000 can be as high as $23,000!
Given the scheme’s popularity, the federal government recently announced an additional 10,000 places would be available from 1 July 2021 to 30 June 2022. There are currently 27 participating lenders across Australia offering places under the First Home Loan Deposit Scheme.
There are various eligibility requirements for buyers purchasing house and land packages, or land with a separate contract to build a home. But some general rules apply across the board, including:
- The total value of the property must not exceed $850,000 (for new homes)
- Taxable income for singles must not be more than $125,000 for the previous financial year
- Taxable income for couples must not be more than $200,000 for the previous financial year
- You and your partner must not have previously purchased a home in Australia
- You must be an Australian citizen
- You must be 18 or over
- You must not have purchased property before
- You have at least a 5% deposit made up of genuine savings
Stamp Duty Concessions
Last but not least, you could also be eligible for stamp duty exemptions. First homebuyers who have purchased property after 1 July 2017, valued at $600,000 or less, don’t pay any stamp duty. That represents a potential saving of up to $30,000!
A concession is also available for first home buyers purchasing a property valued between $600,001 and $750,000. As with stamp duty itself, this is based on a sliding scale. The closer your purchase price is to $600,001, the greater the concession. Visit the SRO website to view full eligibility criteria. You can also use their online Stamp Duty Calculator to see exactly how much stamp duty applies to the property you plan to purchase.
Keen to purchase your first home at Willow? Contact our Estate Manager Brooke on 0488 212 267 or register here.