Say for example if someone has put an offer signed a contract and is waiting for settlement to take place on a block of land and the settlement is due to happen first week of novemeber are they eligible for the new $21,000 home owners grant? Or no?
Unfortunity there is no FHO grant for a block of land, only a first home. Its applicable to your home purchase, when you entre a contract with a builder. The first Home Grant is a great thing for first home buyers, a leg up. In fact some buyers would not own there home or get a loan with out it. However, young Invester, dont go out and buy a new home just because its free money. Ever known the Govenment giving you something for free……. The Rudd Gov. have to do something to stop the economy from stalling. Homes are over priced simple as that & many people cant afford to live in one any more. So, to ease the burden the Gov. gives a bit more money (enough to do your drive way and plant a bit of lawn). It may help you get a loan but remember you have to have a job next year to pay it off the the remaining 29 years.
All the best with you investment or home.
Regards
T…….
i'd be interested if the FHOG would apply to owner builders? I wouldn't mind building on my own as an owner builder.
Wonder if you can use the 21K grant with this http://www.revenue.act.gov.au/home_buyer_assistance_mp/5
make the loan pretty cheap – of course the govt. would own the land initially but the end result would be a lot less than renting for your own home…
Thanks for that Tony B
Appreciated Not buying anything anytime soon waiting for the prices to drop right down and more affordable then will snap up few bargains and invest
TheYoungInvestor wrote:Thanks for that Tony BAppreciated Not buying anything anytime soon waiting for the prices to drop right down and more affordable then will snap up few bargains and invest
i've been trying to buy lately and been outbid 3 times lately. when they dropped the interest rates last week, i decided to stop looking for homes for 6 months or so with the hope of a 10% drop in prices or so……………….now, with this 21K FHOG, I'm displeased as I don't think this will help my cause, which is to get a cheaper house and smaller loan, not an even more expensive home and loan.
Dubin-101
I understand totally. With the rate drop of 1% which I could not beleive and now the FHO grant at 21,000 today, can we afford to wait ?????? Wait, What for ? a further intrest rate cut down to 5%. I also have missed out on the last 2 properties I offered on. IMPO the Gov. wants to stop the ass falling out of the houseing market, like in the USA and I think Keven Rudds serious about it.
Man its like dangling a carrott, first home buyers will be tempted by the grant & the fear of missing out. The market will be stimulated by this for sure, maybe not much but it may be the diffrence between your offer and the other person that is willing to go a few grand more. Great if you are the vendor. Lets hope for the best.Cheers
T…………….Hi Guys
I entered into contract about 2 weeks ago, and settlement is due the 31st of October.
I have purchased an apartment, and i intend to live in it.
I know i am entitled to the FHOG, but i just wanted to verify if i was entitled to the ‘new and improved’ (aka 14k) version?
Thanks for all your help guys
Great forum!
Ryan
I settled on my first home on the 29th of September. I received the old FHOG of 7K. 15 days later the announcement comes that it has doubled. How can the Prime Minister think that is fair?
I have paid just as much tax as everyone who settles from now on, yet I get half of the new benefit. An extra 7K would mean the world to me as a struggling first home buyer. What can I do?
Thanks for your help.
Kind regards,
Suzanne
My partner and I have purchased our land and are about to begin building our house – next week.
About 3 weeks ago we applied for the FHOG($7000.00) and received a letter advising us that we are eligible for the FHOG but would not receive this until settlement of our house (which our bank classes as the request for first draw down), this will not happen for us for another 2 or three weeks.
Do you think that we would be eligible for the 21000.00 still or only the 7000.00???
Please help urgently!!!!!
In response to rpabonnici and suzie24, i just spoke to revenue sa and was told that the new grant only applies to contracts
signed on or after 14th october. If contracts are signed prior (like mine was) then you miss out. Bit of a bummer but you could always
cancel the contract, have another one drawn up and offer the vendors $1000 for the inconvenience. Hope that helps.You could cancel the Contract and re-enter a new one subject to the Vendors Approval however watch the Stamp Duty implications (if they apply in your State) and also if the FHOG Form has been lodged then it is too late.
Richard Taylor | Australia's leading private lender
As expected the new grant of 21k would up set those who have already entred a contract. But look at it this way if I entred a contract 2 month ago I would have only got 12k but I could not find the land. Last month the builder raised the price of building by 9k I was very disapointed. I had to pay 9k more for the same house. However building costs have gone up a lot even in the last few months. So the new grant just covers the cost increase between building now and a few month ago. My point is you cant have it all your way. I most certainly would be pissed if I signed my contract on the 13th Oct and then found out it was for contracts signed on the 14th oct. Think about that……. Lets be happy for those who can use the new grant.
Cheers
T……………..Thanks guys for your help : )
Although tough, a line in the sand has to be drawn at some point and someone will always miss out. They certainly did when the baby bonus came in. There were alot of babies born just after midnight on the first eligible day!!!!!
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