Eligible for the First Home Owner Grant? You might be surprised!

With so much talk about the increased First Home Owner Grant (FHOG) and the June 30 deadline, you need to check all the eligibility requirements, before you just assume you will or will not be able to receive it.
 
It’s important to firstly understand that the FHOG scheme was introduced nationally on 1 July 2000, and therefore does not apply to anyone who has previously owned a residential property in Australia prior to that date.
 
Under the scheme, which is funded and administered by the states and territories, a one-off grant of up to $7000 is normally payable to first home owners that satisfy all the eligibility criteria.
 
However, that figure has been temporarily increased until June 30 this year, with an offer of $14,000 on established dwellings or $21,000 for new dwellings and only applies to contracts made since October 14 last year.
 
In terms of eligibility, even if you or your spouse/partner have acquired an interest in a residential property since 1 July 2000, but didn’t occupy the property for a continuous period of 6 months – you may be surprised to find out you can still apply for the grant.

For example, if you purchased a property during the last nine years for investment purposes and either didn’t live there for more than 6 months, or didn’t live in at all – you could still qualify now for the FHOG as this means you have not yet been an actual owner-occupier of a property.
 
Once you do determine if you can apply on those grounds, there are then certain other strict conditions you will need to meet with respect to the purchase of a property you do intend to occupy:
 
1.You must occupy the home you have purchased or built, as your principal place of residence for a continuous period of 6 months, commencing within 12 months of the date of purchase or completion of construction.

2.The application must include everyone who will be an owner of the property and must be lodged within 12 months of completion of settlement of the home.

Other basic criteria require that at least one of the applicants must be an Australian citizen or have permanent residency in Australia and are required to be at least 18 years of age. Companies or trusts are excluded from applying.
 
The good news is that if you are eligible, you can receive the grant regardless of your income and the area in which you are planning to buy or build.
 
More detailed state-specific information about the First Home Owner Grant and other grants can be found by visiting www.firsthome.gov.au

And if you are already a home owner, Resi can help your children and grand children become a first home buyer too. Simply speak to your Resi Lending Specialist to see how.
 

Resi Home Loans offers an ideal range of home loan and home mortgage products to suit your every need. To find the best home loans for you, check out our mortgage calculators and our current home loan rates today.