If you are a first home buyer in New South Wales, you may have heard about the First Home Owner Grant (FHOG). The FHOG is a government initiative designed to help first-home buyers purchase their first home. In this blog post, we will explain what the FHOG is, how much it is, and who is eligible to receive it.
What is the First Home Owner Grant (FHOG)?
The First Home Owner Grant (FHOG) is a one-time payment made by the New South Wales government to eligible first-home buyers who are purchasing a new home or building a new home. The grant was introduced in 2000 to help first-home buyers enter the property market and stimulate the building industry.
How much is the First Home Owner Grant (FHOG)?
The amount of the FHOG in New South Wales depends on the date of the contract. For contracts signed from 1 January 2016, the FHOG is $10,000 for new homes. A new home is defined as a home that has not been previously occupied or sold as a place of residence.
Who is eligible for the First Home Owner Grant (FHOG)?
To be eligible for the FHOG in New South Wales, you must meet the following criteria:
- You must be a natural person (not a company or trust).
- You must be at least 18 years old.
- You or your spouse must not have previously owned a home in Australia.
- You must be buying or building a new home.
- The value of the property must not exceed the cap.
- You must move into the property within 12 months of the construction being completed, or within 12 months of settlement if the home is already built.
- You must live in the property for a continuous period of at least six months, starting within 12 months of the completion of the construction or settlement of the property.
- You must be an Australian citizen or permanent resident.
It’s important to note that the FHOG is not means-tested, so your income or savings do not affect your eligibility for the grant.
What properties are eligible for the First Home Owner Grant (FHOG)?
The FHOG is only available for new homes that have not been previously occupied or sold as a place of residence. This includes newly constructed homes, off-the-plan properties, and homes that have been substantially renovated. It does not include established homes or properties that have been previously lived in.
How do I apply for the First Home Owner Grant (FHOG)?
To apply for the FHOG in New South Wales, you need to complete an application form and submit it to your lender or financial institution. Your lender will then submit the application to Revenue NSW on your behalf. You can also apply for the FHOG online through the Revenue NSW website.
It’s important to note that you must apply for the FHOG within 12 months of the completion of the construction or settlement of the property. If you miss this deadline, you may not be eligible to receive the grant.
In conclusion, the First Home Owner Grant (FHOG) is a government initiative designed to help first-home buyers purchase their first home. The FHOG is a one-time payment of $10,000 for new homes in New South Wales and is available to eligible first-home buyers who are buying or building a new home. To be eligible for the FHOG, you must meet the eligibility criteria outlined by Revenue NSW, and apply for the grant within 12 months of the completion of the construction or settlement of the property.
As a first-home buyer in NSW, it’s important to do your research and understand all the grants and concessions available to you. The FHOG is just one of many government initiatives designed to help you enter the property market.
