The FHOG is a government incentive to encourage first home buyers to make the move into home ownership. Eligible applicants receive a one off payment towards the purchase of their first home and the amount of the grant varies from State to State.
From the 1st of January 2017 the West Australian Government has temporarily increased the first home owners grant (FHOG) from $10,000 for first time buyers purchasing a new home in the State by an additional $5,000 for a period of 12 months.
Eligible first home owners who enter into a contract to purchase or construct a new home between the 1st of January 2017 and the 31st of December 2017 will receive an additional $5,000 on top on the standard $10,000 FHOG.
ELIGIBILITY AND APPLICATIONS
The first home owners grant has geographically determined caps on the value of the home being purchased, residence requirements and eligibility criteria for applicants.
For homes to qualify for the grant in the Perth metropolitan region, the purchase price of the property must not exceed $750,000.
Applicants are required to reside in the property purchased for a continuous period of 6 months within the first 12 months from the date of the transaction.
In addition to this, the following eligibility criteria must be satisfied for an applicant to qualify for the grant:
- Applicant must be an Australian citizen or permanent resident over the age of 18 years old;
- Applicant must not have owned residential property in Australia before; and,
- Applicant must not have received the first home owners grant in Australia before.
The boost will also be available for owner builders who commence laying foundations of their home between the 1st of January 2017 and the 31st of December 2017.
Where the boost applies to a grant received on a contract to build a home, construction must commence within 26 weeks after entering into a building contract and be completed within 18 months after construction commences. For owner builders and purchases of a new home ‘off-the-plan’, construction must be completed by 30 June 2019.
Applying for the FHOG
- If you wish to make an application for the $10,000 grant the form can be found on the WA Government website here.
- If you wish to also make an application for the $5,000 boost payment the form can be found here.
Applications can be submitted via an approved agent or via the Office of State Revenue. Please feel free to contact us if you would have any questions or need assistance with your application.
THINGS FOR FIRST HOME BUYERS IN 2017 TO CONSIDER
If you are considering making the move into home ownership this year, consider the following:
- Whether you will be buying an established home or a brand new home;
- Whether you are able to qualify for finance;
- Applying for a home loan;
- Applying for the first home owners grant; and,
- Applying for the first home buyers reduced rate of duty.
Are you ready to make the move into home ownership and buy your first home this year?
iconic home loans speciaise in first home buyer finance and construction finance, we will take you through everything from budgeting and planning, saving your deposit, finding you the right home loan and getting you the home of your dreams.
To start your journey into home ownership in Western Australia in 2017 contact us today and a member of our team will be in contact as soon as possible to see how we can help you purchase your first property this year.
Thanks for reading guys, happy new year and all the best for the year ahead!
iconic home loans
*All information provided here is general only and your personal circumstances have not been taken into account during its preparation. You should seek independent advice before making any decisions in relation to your personal finances. Finance and grant availability is subject to an application satisfying the lenders eligibiliy criteria and all finance approvals are at the discretion of the lender.