Which Conveyancing Melbourne properties are eligible?
If you are buying or building a new home valued up to $750,000, you may be eligible for up to $10,000 towards your stamp duty, the First Home Owner Grant (FHOG).
What if it is an existing home?
Established homes are no longer eligible to receive the FHOG. However, if you are buying an established home as your first home and you meet the FHOG eligibility criteria (but for the fact that it is not a new home), you may be entitled to:
- First-home buyer duty concession of up to 50 per cent (for homes valued at $600,000 or less), and/or
- PPR concession (for homes valued at $550,000 or less)
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.
What is the residency requirement?
The residency requirement necessitates that you must intend to live in your home for at least a year as your PPR within 12 months of settlement or completion of construction of your home.
You must tell us in writing as soon as possible if circumstances beyond your control prevent you from satisfying this requirement of whichever grant, concession or discount you have received.
With two or more owners on title, at least one of them has to satisfy the residency requirement but it is not necessary for the same owner to live in the property for the entire 12 months.
Please note your home must be lawfully fit for residential occupation to be considered your PPR. All Conveyancing Melbourne files should be be conducted lawfully.
First-home buyer duty reduction
If you are buying your first home and it is valued at $600,000 or less – regardless of whether it is a new or established property – you may be entitled to a duty reduction of up to 50 per cent.
The amount of your duty reduction will depend on when settlement occurs for your Conveyancing Melbourne matter. If your settlement is on or after 1 September 2014, you will receive the full 50 per cent reduction.
First-home owners with a family
A duty exemption or concession may be available to eligible first-home buyers with a family who bought their home on or after 1 January 2006.
A full exemption is available where the property’s total value is not more than $150,000. A concession is available where the Conveyancing Melbourne property’s total value is not more than $200,000.
There are eligibility requirements for Conveyancing Melbourne matters. Most importantly, you must have a dependent child at the date of the contract of sale. A dependent child means a child under 18 in the custody, care and control of. They must ordinarily reside with the person/s buying the property.
If you bought the home with your spouse/partner, you must both be eligible.
This information is of a general nature, and you should check your eligibility prior to purchasing a property.
All information is current as at July 2016 and you should always check for any changes to legislation or entitlements prior to making financial decisions.
For all your conveyancing Melbourne & Victoria needs, Call the team at Victorian Property Settlements on 03 9783 0111.