Is there still a 1st home owners grant?

A few people have asked us recently if there is still a first home owners grant in South Australia. The short answer to that question is yes. However, the grant now only applies to new homes that have never been lived in. Eligible applicants can receive $15,000 for newly constructed homes. There are some restrictions in place so make sure you do your homework.

Below is an extract from the Revenue SA website outlining some of the eligibility requirements as of today.

1. At least one of the applicants must be an Australian citizen or have permanent residency in Australia. New Zealand citizens permanently residing in Australia who hold Special Category Visas may also apply.
2. The applicant(s) or their spouse(s)/domestic partner(s) must not have previously owned a residential property anywhere in Australia prior to 1 July 2000.
3. The applicant(s) or their spouse(s)/domestic partner(s) must not have owned a residential property anywhere in Australia on or after 1 July 2000 and occupied that property continuously for six months or more.
4. All applicants must occupy the home purchased or built as their principal place of residence for a continuous period of at least six months commencing within 12 months after completion of the eligible transaction. It is the responsibility of the applicant(s) to satisfy the Commissioner that they have meet the residency requirements. Applicants may be required to verify this later by providing documentation supporting their period of occupancy (e.g. electricity and gas accounts, bank statements, landline and/or mobile phone accounts and household contents insurance policies). Applicants who do not meet the residency requirements must contact RevenueSA in writing within 14 days of the date on which it first became apparent that the residency requirements would not be complied with, and repay the grant.
5. Each applicant must be a natural person (i.e. not a trustee or company) except in the cases of legal disability.
6. Each applicant must be at least 18 years of age at the time of making application for the FHOG.
7. The property purchased has a market value of $575 000 or less.A property value cap applies to applicants who entered into a contract to purchase or build a home on or after 17 September 2010, or who commence construction as owner builders on or after 17 September 2010. The property value cap is $575 000 and applies to the market value of the property purchased or built.In the case of a contract to purchase a home the market value is:

• the consideration for the purchase of the home; or
• where the consideration is less than market value, the market value of the property.

In the case of a comprehensive building contract the market value is:

• the sum of the consideration for the building contract and the market value of the property on which the home is to be built as at the time the contract is made; or
• where the consideration for the building contract is less than actual costs, the sum of the actual costs to build the home and the market value of the land on which the home is to be built as at the time the building contract is made.

In the case of an owner builder the market value is:

• the market value of the property on which the home is situated at the time the home is completed and ready for occupation as a place of residence.

NOTE: in the cases of a genuine farm the market value of the property will be determined on the value of the home and curtilage area of that part of the land that is to constitute the site and curtilage of a home that is to be built on that site.

 

We would encourage first home buyers to check out the Revenue SA website or speak to a financial adviser.

 

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Is there still a 1st home owners grant?

08/10/2018

Article posted by Melissa Chaplin

 

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