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Its a shame someone would state that i am clearly incorrect without checking it out for themself.
A close friend of mine recently purchased a house with her father. Her intentions are to live in the house while her father builds a house on the rear of the block and sells it.
My suggestion is that you contact the State Revenue Office for yourself and you will find out the truth.
Actually you can purchase a property with someone else and apply for the FHOG.
What you need is proof that you are going to subdivide the land and keep the existing house yourself. You will have to wait until the plans for the subdivision are lodged with council before you apply for the FHOG.
With regards to re-subdividing the property in the future there are too many variables to confirm if it will be allowed. You would be best contacting the planning department at your council…