Many Australians aspire to buy their first home, but it’s not always easy to save up enough money for the deposit. This can be anywhere between 5% to 20% of the purchase price. One concession that may help you along your home-buying journey is the First-Home Owner Grant (FHOG). Keep reading to discover if you’re eligible…
What is the First-Home Owner Grant?
First introduced in 1 July 2000, the First-Home Owner Grant is the national government’s effort to offset the effect of GST on home ownership, assisting many Australians in owning their first home through a one-off payment. In the state of Victoria, there are essential facts that determine your eligibility for the grant:
- Eligible applicants can receive up to $20,000 if the home you’re buying is within regional Victoria. Otherwise, the grant is up to $10,000.
- The home must be less than five years old to be eligible for FHOG.
- There are exemptions and concessions regarding stamp duty for first home owners.
Checking for FHOG Eligibility
In order to be eligible for the FHOG, you need to qualify for the following points:
- You’ve never received a first-home grant in Australia before.
- You’ve never owned a home or other residential property in Australia.
- You intend to live in the home as your principal residence for at least 12 continuous months.
- You’re aged 18 or over.
- You’re a permanent resident of Australia or an Australian citizen.
- You’re buying a home or property not exceeding the $750,000 cap.
- You must lodge an application within 12 months of completing the eligible transaction.
How can you lodge an application for the FHOG?
You can determining your eligibility for the grant by completing the State Revenue Office Victoria’s online quiz.
If you’re eligible for the grant, you can then start lodging your application with an approved agent, or through the State Revenue Office. Lodging your application will involve completing an application form and supplying all supporting evidence. Read the FHOG lodgement guide to help you complete the necessary steps.
The date of your grant payment largely depends on whether you’re building or buying your first home.
You might also like to read up on Buying Guide for First Home Buyers and Welcome News for First Home Buyers from the Federal Government.