Changes in Conveyancing/property Law We Need To Know

Are you a first home buyer or are you interested in investing in real estate properties? Whichever category you belong you must know changes in Property Law.

 

The $7,000.00 first home owner grant for established residencies (i.e. not brand new properties) will end on 30 September 2012. The grant will not be available for first home purchasers who are buying established properties if the contract is dated on or after 1 October 2012.

 

The First Home Owner Grant (New Schemes) will commence on 1 October 2012 and the grant is $15,000.00. The grant is available to first home buyers who enter into a contract on or after 1 October 2012. From 1 January 2014, the grant is reduced to $10,000.00 and will affect those contracts entered on or after 1 January 2014. The cap for the new home must not exceed the value of $650,000.00.

 

First Home Owner Grant New Scheme relating to stamp duty replaced the First Home Owner Plus Scheme from 1 January 2012. This will affect those who will buy new homes or purchase vacant land for the purpose of building a new home. From the 1 July 2012, to qualify for the full exemption to duty, the value of the property must be less than $500,000.00 if it is a private dwelling or $350,000.00 if it is a vacant block of residential land.

 

For private homes with a value of more than $500,000.00 but less than $650,000.00 concessions will apply and for vacant residential land with a value of more than $350,000.00 but less than $450,000.00.

 

To qualify as a “new home” the property has not been previously occupied or sold as a place of residence.

 

The Home Builders Bonus ceased on 1 July 2012 and contracts dated on or after will no longer be available for the stamp duty concessions which were eligible to those prior to that date in the purchase of new homes, homes off the plan and vacant land on which a new home was to be built. Contracts entered into after 1 July 2010 and before 1 July 2012 the concessions will still apply.

 

The New Home Owners Grant Scheme has replaced the NSW Home Builders Bonus and is available for the purchase or construction of a new home. The amount of this grant is $5000.00 available for off the plan purchases, a new home or a vacant land where a residence is to be built. However, those eligible for the First Home Grant cannot apply for this grant.

 

Feel free to discuss any of these changes on 02 9613 3629.

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