NSW First Home Owners Grant Threshold Increased

buying first homeFirst-time buyers in NSW can now purchase new properties worth up to $750,000 to qualify for the $15,000 first home owners grant.

The changes came into effect on July 1 2014, raising the previous threshold of $650,000, which had been in effect since 2012.

For those who live in the centre of Sydney this amount may not seem like much, with the median Sydney house price recently hitting an all-time high of $811,000.  In the Bankstown/Canterbury area however, where the median property price is $720,000, a lot more homes will now be able to qualify for the grant.

The First Home Owner Grant (New Homes) scheme was introduced to help encourage the development of new dwellings in NSW and to help assist first home owners purchase a property, however the scheme possibly hasn’t been as successful as hoped.

According to government data, 100,000 new homes have been built since the March 2011 election, but first home buyers in NSW have been dwindling and its possibly because many are trying to save up more to be able to afford a new home and take advantage of the grant.

In 2013 around 7600 first time buyers took advantage of the scheme, compared to about 36,000 in 2011 when a $7,000 grant was available for new and established homes.

The first home owners scheme is beneficial if you are looking at buying a new house or apartment however, so for first home buyers in the Padstow to Picnic Point area who would like to take advantage of the scheme, you can find all information about eligibility and how to apply at www.osr.nsw.gov.au/grants/fhog.

First home buyers should also note that the scheme will be reduced to $10,000 on January 1 2016.

For anyone who is interested in finding a new home anywhere from Padstow to Picnic Point, please don’t hesitate to get in touch with one of the team at Chambers Fleming Professionals Real Estate, Padstow.

 

 

Source: www.propertyobserver.com.au

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