Changes to New Home Grant and First Home Owner Grant (New Homes) – 2014 State Budget (1)

Amendments have been introduced to restrict the eligibility for a grant under the New Home Grant Scheme. These amendments are summarised as follows:-

1. One grant per financial year. i.e. if a transferee has been paid a grant under Scheme, for a transaction which occurred in a financial year, the transferee will not be eligible for a further grant on another transaction in that year.
2. Eligibility for a grant under the Scheme is restricted to transferees who are a declared Australian Citizen, Australian Resident or Australian-owned body;
3. If a transferee is acquiring the land in a trustee capacity, the transferee is an Australian Citizen, an Australian Resident or Australian-owned body only if at least 50% of the beneficial interest in the land is held for the benefit of Australian Citizens, Australian residents or an Australian-owned body;
4. The time limit (which was previously three months) for making an application under the Scheme has been removed; and
5. The amendments referred to above apply to agreements for the sale or transfer entered into on or after 1 July 2014 and transfers that occur on or after 1 July 2014.

First Home Owner Grant (New Homes)

The amendments increase the First Home Owner Grant cap from $650,000.00 to $750,000.00. This means that an eligible transaction that has a total value of up to $750,000.00 will qualify for the First Home Owner Grant for new homes.

For more information and advice concerning Property & Conveyancing, contact the experienced team at Rockliffs Lawyers today.