NSW State Budget delivers good news for home buyers.  Paul Wrigley of Ray White Toronto is pleased with the state governments New Home Grant Scheme which should boost the building of new houses.

New Home Grant Scheme

From 1 July 2012, a new $5,000 grant will be provided to buyers of new homes, whether off the plan or newly built, with a value up to $650,000, and to buyers of vacant land valued up to $450,000 that is intended to be the site of a new home.  The grant is targeted at all non-first home buyers and is available to investors as well as owner occupiers.

First Home Owner Grant (New Home) Scheme

From 1 October 2012, the First Home Owner Grant Scheme will be replaced by the First Home Owner Grant (New Home) Scheme.  The new scheme will only apply to first home owners who purchase or build a new home valued at up to $650,000.  The grant will increase from $7,000 to $15,000 from 1 October 2012 to 31 December 2013 and to $10,000 from 1 January 2014.

First Home – New Home

From 1 July 2012:

  • The transfer duty exemption cap on new homes increases to $550,000 with duty concessions for new homes valued between $550,000 and $650,000; and
  • The transfer duty exemption cap on vacant land increases to $350,000 with duty concessions for vacant land valued between $350,000 and $450,000.

More information about the 3 above new schemes can be found at http://www.osr.nsw.gov.au/legislation/budget/2012/

… and don’t forget

The Regional Relocation (Home Buyers Grant) is to continue until 1 July 2015.  The scheme provides applicants with a one-off payment of $7,000 to assist them with the cost of relocating from their metropolitan home to a regional home.  The Grant also applies to applicants buying vacant land valued up to $450,000, provided the applicant commences building within 6 months and occupation of the home within 12 months of completion of the land purchase. This applies to purchases from 1 July 2011.  More information is at  http://www.osr.nsw.gov.au/benefits/rrg/