From 1 October 2012, the First Home Owner Grant Scheme was replaced by the First Home Owner Grant (New Homes) Scheme. The new scheme only applies to first home owners who purchase or build a new home valued at up to $650,000.
The grant will increase from $7,000 to $15,000 from 1 October 2012 to 31 December 2013 and then reduce to $10,000 from 1 January 2014.
The grant is targeted at all non-first home buyers and is available to investors as well as owner occupiers. The grant will be administered through the transfer duty payment process.
An eligible transaction for the grant is:
- a contract made on or after 1 October 2012 for the purchase of a new home in New South Wales, or
- a comprehensive home building contract made on or after 1 October 2012 by the owner of the land in New South Wales or a person who will on completion of the contract be the owner of land in New South Wales, to have a home built on it, or
- the building of a home in New South Wales by the owner builder if the building work commences on or after 1 October 2012.
More information about the First Home Owner Grant Scheme can be found here: http://www.osr.nsw.gov.au/legislation/budget/2012/ and here: http://www.osr.nsw.gov.au/legislation/budget/2012/newhome_faq/.