First home buyer concession
This is an exemption from Land Transfer Duty or commonly known as stamp duty. First home buyers who purchase a property up to the value of $600,000 will not be charged stamp duty, with properties between $600,000 and $750,000 charged on a sliding scale. As the property grows in price, the stamp duty charge rises as per below table.
|Property Price||Normal Stamp Duty||New Stamp Duty|
|Up to $600,000||$30,070||$0|
How do you qualify?
As stated, the property must be under $600,000 to receive the exemption and under $750,000 to receive the sliding exemption.
All purchasers must meet the first home buyer eligibility criteria. The main criteria is:
- You are 18 years of age
- It is your first home. If you have a partner in the purchase it must be a first home for both of you
- You or one applicant must be an Australian citizen
- You or at least on applicant must live in the property for 12 months from the time of settlement
This exemption relates to both new and established properties.
When does this happen?
The first home buyer exemption and concession will commence on the 1 July 2017. If you have entered a contract before this date but settle after the 1 July, you will not be eligible. However, you may be eligible for the existing first home buyer duty reduction given that it will be your principle place of residence for the first 12 months.
Off the plan concession deducts the construction or refurbishment costs incurred after you sign the contract from the contract price.
hockingstuart finance can assist your new home buyers in understanding the changes and have pre-approval in place to start bidding at auctions. Contact Chris Salm on 0431 305 481 or email email@example.com