{"id":8179,"date":"2023-09-18T12:02:32","date_gmt":"2023-09-18T02:32:32","guid":{"rendered":"https:\/\/adelaideprivatewealth.com.au\/first-home-owner-grant-fhog-the-basics\/"},"modified":"2023-09-18T12:02:32","modified_gmt":"2023-09-18T02:32:32","slug":"first-home-owner-grant-fhog-the-basics","status":"publish","type":"post","link":"https:\/\/adelaideprivatewealth.com.au\/first-home-owner-grant-fhog-the-basics\/","title":{"rendered":"First Home Owner Grant (FHOG) \u2013 the basics"},"content":{"rendered":"
The FHOG was introduced by the Federal Government in 2000 to assist first home buyers with purchasing a home. Since then, the rules around it have repeatedly changed.<\/p>\n
While the FHOG is a national scheme, it\u2019s funded by the states and territories\u2014and administered by each of them individually. So each state or territory tweaks its own FHOG rules pretty much every year.<\/p>\n
We\u2019ll look at some general principles of the FHOG, the intention behind it and then look at the eligibility rules. We\u2019ll also show you where to find more information depending on the state or territory you live in.<\/p>\n
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Introduced to offset the effect of GST on house ownership, the FHOG has evolved into an economic stimulus tool. It generally changes to reflect housing affordability, and can change quickly and often.<\/p>\n
The Federal Government has a portal to the relevant\u00a0FHOG page<\/a>\u00a0where you can find out how much the FHOG is in each state and territory. You can find out for example, how much the home buyers grant is in WA, Victoria and Queensland, as well as the other states and territories.<\/p>\n The FHOG has undergone changes over the years and varies a great deal from state to territory to state. This home buyer grant is now aimed squarely at new builds. The FHOG can be worth between $10,000 and $15,000 in most cases.<\/p>\n Again, each state and territory has its own rules, but the following conditions generally apply:<\/p>\n it\u2019s only available to first home buyers. You \u2013 and your spouse or partner \u2013 can\u2019t have owned property before<\/p>\n<\/li>\n you can only receive the grant once<\/p>\n<\/li>\n you must be an Australian citizen or permanent resident (may vary by state or territory)<\/p>\n<\/li>\n you must be a \u2018natural\u2019 person (in other words, a real human, not a company or a trust)<\/p>\n<\/li>\n you must live in the house for at least six months once it\u2019s built<\/p>\n<\/li>\n most states and territories have a minimum age requirement (usually 18)<\/p>\n<\/li>\n maximum purchase price is between $575,000 and $750,000 (depending on state or territory)<\/p>\n<\/li>\n in almost every instance, the property must be either new or \u2018substantially renovated\u2019 (i.e. much more than just a new kitchen).<\/p>\n<\/li>\n<\/ul>\n Check to\u00a0see if you\u2019re eligible<\/a>.<\/p>\n You\u2019ll need to check the rules for your state or territory, but you could be eligible for:<\/p>\n discounts on stamp duty \u2013 some states and territories can waive or discount stamp duty up to some property price limits<\/p>\n<\/li>\n regional property concessions \u2013 you may be eligible for a larger grant if buying or building in regional areas, or even a larger discount on stamp duty<\/p>\n<\/li>\n the\u00a0Home Guarantee Scheme*.<\/p>\n<\/li>\n<\/ul>\n * Formerly First Home Loan Deposit Scheme<\/p>\n Once again, each state and territory has their own rules so you\u2019ll need to check out the sites above. But generally, the grants are paid out under these conditions:<\/p>\n established home: payment will be made on settlement<\/p>\n<\/li>\n contract to build: grant paid to the builder with the first progress payment<\/p>\n<\/li>\n new home: payment at settlement<\/p>\n<\/li>\n purchase off the plan: payment at settlement.<\/p>\n<\/li>\n<\/ul>\n We know that the home loan process can be daunting. When the time comes, don\u2019t feel like you have to do it on your own \u2013 call us.\u00a0<\/p>\n To apply for the FHOG, you can:<\/p>\n lodge the application yourself through your state or territory authority<\/p>\n<\/li>\n ask your home loan provider to lodge the application for you.<\/p>\n<\/li>\n<\/ul>\n Source: NAB<\/a><\/span><\/p>\n Reproduced with permission of National Australia Bank (\u2018NAB\u2019). This article was originally published at\u00a0https:\/\/www.nab.com.au\/personal\/life-moments\/home-property\/buy-first-home\/first-home-owner-grant<\/span><\/p>\n National Australia Bank Limited. ABN 12 004 044 937 AFSL and Australian Credit Licence 230686. The information contained in this article is intended to be of a general nature only. Any advice contained in this article has been prepared without taking into account your objectives, financial situation or needs. Before acting on any advice on this website, NAB recommends that you consider whether it is appropriate for your circumstances.<\/span><\/p>\n \u00a9 2023 National Australia Bank Limited (\u201c\u201dNAB\u201d\u201d). All rights reserved.<\/span><\/p>\n Important:<\/span><\/p>\n Any information provided by the author detailed above is separate and external to our business and our Licensee. Neither our business nor our Licensee takes any responsibility for any action or any service provided by the author. Any links have been provided with permission for information purposes only and will take you to external websites, which are not connected to our company in any way. Note: Our company does not endorse and is not responsible for the accuracy of the contents\/information contained within the linked site(s) accessible from this page.\u201d<\/span><\/p>\n The post First Home Owner Grant (FHOG) \u2013 the basics<\/a> appeared first on MLC Contemporary<\/a>.<\/p>\n<\/div>\nWho gets the FHOG?<\/h3>\n
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Do concessions apply?<\/h3>\n
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When will the grant be paid?<\/h3>\n
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How do I apply for the FHOG?<\/h3>\n
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