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The other good news if you are building a new home for the first time is that you won’t pay stamp duty on the value of the house. You only pay stamp duty on the block of land you are buying as part of the package. This is one of the reasons why buying a house and land package is one of the most affordable ways to buy a home in Victoria. First home buyers may also be eligible for government grants and financial incentives that can help make the dream of new homeownership a reality. Our First Home Owner Grant fact sheet includes information about specific grants and stamp duty savings for new homes. You’ll need a minimum 15% of the property’s bank valuation as a deposit for this home loan offer.
Imagine if Luke, a first home buyer, buys a block of land for $500,000 and builds a $650,000 home on it. While the value of his home is $1,150,000, Luke will only pay duty on the land value of $500,000, which is below the $600,000 maximum for a stamp duty exemption. Stamp duty is a government tax on certain purchases, including buying a home, land or investment property. The good news is, when you buy your first home and it’s in Victoria, you might be eligible for a stamp duty exemption or concession . The amount of the discount depends on the value of your home. If you are building in or buying a new house in a regional area, then the First Home Owners Grant increases to $20,000.
First Home Buyer Melbourne
This is an individual cap, so couples can save up to $60,000 total. The First Home Super Saver Scheme lets you save money in your superannuation, allowing you to save faster than outside super thanks to concessional tax treatment within your super fund. A expert team of lawyers available to guide you in any extensive range of legal matters.
If you require the grant for settlement or first draw down/progress payment, you must lodge your application with an approved agent. We’ve assembled the perfect team to support, advise and guide you at every step of the way from putting together your savings and deposit, through to selecting the right property. Based in Melbourne and located in the Richmond and Cremorne area, we are on hand to help guide you through the process. Just as there are multiple banks you can choose from, there are also multiple features and rates available to you. It’s our job to know the options available and ensure you walk away with a brilliant financial structure that makes the most of your assets and position. The right loan isn’t about interest rates, it’s about making sure you’re set up for the next great thing you want to do.
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A First Home Owner Discount of up to $23,928.60 off stamp duty on an established home up to the value of $650,000. Under the scheme, the government has increased the total amount of savings borrowers can release from super to make a deposit on a home from $30,000 to $50,000. The First Home Super Saver Scheme allows first-home buyers to save a deposit for their first home inside their super account, to take advantage of the concessional tax treatment. First-home buyers can buy a home with a deposit as low as 5% of the property value and the government will guarantee the other 15%, allowing borrowers to avoid paying LMI.
To help you understand if this first home owners grant in VIC is right for you, we’ve put together a breakdown of everything you need to know about the new Victorian Homebuyer Fund in 2022. Buying your first home is a major financial decision so it’s important to understand your financial responsibilities and what help is available to you. Home Loan Experts is a business owned by mortgage broking firm Home Loan Experts Pty Ltd. We finance properties anywhere in Australia for people anywhere in the world. South Australia has a $ one-off FHOG for purchase or construction of a new home. All buyers including their partners must not have owned any other property in the last two years.
Victorian Homebuyer Fund shared equity scheme
Dedicated lender will support you from application to settlement. Apply online for a home loan, conditional approval or to switch to us. Loan-to-value ratio is a common home loan term that shows a percentage ratio of your borrowed amount compared to your property’s value. For contracts signed prior to 1 July 2013, a FHOG of up to $7000 is still available for eligible applicants if you bought an established home. FHBG(of up to $10,000) if you signed your contract on or after 1 July 2013.
Based on Bank of Melbourne’s credit criteria, residential lending is not available for Non-Australian resident borrowers. Before making a decision, it’s best to read the terms and conditions. Once your application’s been approved, the Bank of Melbourne team will apply this home loan offer by reducing your LMI to $1, which will be reflected in your Loan Offer Documents.
First off, you want to make sure that you’re eligible for the government scheme/grant for which you’re applying. Each program has slightly different eligibility requirements so you want to check off all the boxes prior to submitting your application. A First Home Concession wherein first-home buyers pay no stamp duty for both new and existing property purchases under $550,000, a discount may still apply for a home valued over $550,000. Full transfer duty concession for both new and established properties valued up to $650,000, and partial concession for homes valued between $650,000 and $800,000. We applied with other lenders but had been turned down, but Smart mortgage worked with us so we can have our dream home! Our lender Jon, walked us through the process and was very helpful in answering questions promptly.
Smart Mortgage Centers holds the highest 5 star ratings with Google, Yelp, Bing and Facebook. A+ Accredited with Better Business Bureau we supply our clients with one on one customer service from start to finish. There are some other criteria too, check whether you are eligible online here by answering a few questions on the State Revenue Office site. If you are buying an established property unfortunately there is no First Home Owner Grant.
Our home buyer grant team is celebrating its 25th year in business. Check out consumer USDA options, FHA loans and our Bad credit home loan options. If the property you buy is valued at $600,000 or less then you don’t have to pay any stamp duty. Based on a property of $600,000 that’s a savings of up to $31,070.
We’ll also help with any developer guidelines governing your land and home design choice.
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