They Giveth… and They Taketh Away
The big news in property this morning is the Victorian Government’s overhual of the First Home Owner’s Grant as of July 1, 2013.
For those looking to build, or purchase a newly built home, you’re in luck. The government has increased your grant from $7,000 to $10,000.
For those looking to buy an established home, you’re out of luck. The government is scrapping your existing $7,000 grant, so you get nothing.
The good news for both camps is the 10% further reduction of stamp duty that was scheduled to take place in January 2014 that has now been moved up to July 1, 2013. So first home buyers, no matter how old the property being purchased, will get a 40% discount on Stamp Duty for purchases up to $600,000.
These new rules apply from the 1st of July 2013. If you want the grant as it is now, you have until the 30th of June to sign a contract. If you want the “new” grant, you need to sign the contract after July 1. Please note, the rules are based on the date you sign the contract, not the settlement date.