First home buyers in Western Australia to benefit from Grant changes

By the resi financial blog team, 03 October 2013

First home buyer grants WA

First home buyers in Western Australia could be looking forward to some good news in the coming months, as increases to the state's First Home Owners Grant (FHOG) are in the pipeline to help buyers achieve their property dreams.

As outlined by the Liberal Government's 2013/14 State Budget, the FHOG will increase from $7,000 up to $10,000 for new dwellings or to help those with the construction costs of their own properties.

The changes, which were originally set to come into effect September 15, have now passed through the state's Legislative Assembly and are expected to be considered by the Legislative Council in the coming weeks.

Treasurer Troy Buswell said that the changes are going to be fantastic for the state, with the increase expected to help first home buyers secure a property, as well as boost the number of homes available and create jobs in the housing industry.

Furthermore, the FHOG will still offer $3,000 to those looking to purchase an established home as their first property. Buyers will also remain exempt from paying transfer duty on any property valued under $500,000.

Activity in Western Australia for first home buyers has been increasing recently, with Urban Development Institute of Australia (WA division) Chief Executive Officer Debra Goostrey highlighting that there were over 5,000 more FHOG applications over the 12 months to July 2013 than the previous year.

"We’ve seen the market balance change dramatically over the past 18 months, encouraged by a strong lift in home-ownership, but also the return of investors," said Ms Goostrey in an August 29 statement.

Anyone considering taking out their first home loan for property in Western Australia could benefit from the upcoming changes, which will help to alleviate some of the stress associated with purchasing real estate.

Categories: Home Loans, Personal Finance