For purchases of an owner occupied property up to $600,000, first home buyers will no longer have to pay stamp duty. Currently the stamp duty on a $600,000 purchase is reduced by 50% from $31,070 to $15,535 for first home buyers but from July 1 this will drop to $0.
Additional discounts will apply on a sliding scale for purchases between $600,000 and $750,000.
Additionally the First Home Owner Grant of $10,000 will continue for first home buyers purchasing a brand new place and it will be increased to $20,000 for first home buyers in regional areas – follow the link here to go to the State Revenue Office website to check what areas are deemed to be regional.
Time will tell if this is the boost needed to get first home buyers back into the market or whether price rises will counteract the changes. Either way it looks like good news for first home buyers.
To check your individual position and how these changes affect our personally, call us on (03) 9877 6471.