Buying your first home in Tasmania: What kind of incentives can help with your goals?

By the resi financial blog team, 01 August 2014

What incentives are there in Tasmania

Purchasing a first home is a huge chapter in any Australians' lives. There are a number of different things to consider before approaching the market for the first time, but one of the most important is to investigate the First Home Owner Grant (FHOG) possibilities in your state. Luckily, if you're looking into buying Tasmanian real estate, the state offers monetary help for anyone interested in purchasing their first home. 

What is a FHOG?

Across the states and territories of Australia, there are incentives to help first home buyers get their foot in the door. They vary from state to state and can be super useful for buyers struggling to save up their minimum deposit on a home.  

The fund was created in 2000 to the tune of $7,000 nationwide for buyers hoping to purchase established properties. This has remained the same for Tasmania since then, although a number of changes occurred on July 1 2014. 

Furthermore, the state also has a First Home Builder Boost (FHBB) that provides additional funding for those looking to build their own properties to the tune of $30,000 until December 31 2014. 

What are the recent changes?

With regards to the amount of the FHOG in Tasmania, this has remained the same. However, from July 1 2014 this no longer applies to existing properties. This is in an attempt to stimulate the economy and increase the supply of new properties across the state.

What are the eligibility criteria?

To be able to apply for the Tasmanian FHOG, there are a number of criteria that need to be fulfilled. For example, you need to be at least 18 years old and an Australian resident or have permanent residency. Furthermore, you can't have owned a home in Australia before or received a FHOG anywhere else in Australia beforehand. 

Finally, after securing the FHOG and purchasing property, you have to occupy the home as your main place of residence for a continuous period of at least six months, which has to commence within 12 months from the date of purchase or building completion. 

When it comes to applying for the FHBB and the additional $23,000 on top of the original grant, simply fill out the additional form that comes with the application. Finally, to qualify for both grants you need to be fixed to your land and meet the local planning standards. These could be worth investigating before applying for the state grants. 

If you're thinking about getting your foot on the property ladder in Tasmania, then pick up the phone and give one of our resi mortgage specialists a call on 136 126 today and speak to them about first-time buyer home loans.

Categories: Home Loans, Personal Finance