First Home Owner Grant
Friday November 14, 2008
The First Home Owner Grant may be able to help you cover some of the costs of purchasing a house, and sometimes qualifying for the grant can qualify you for special offers from a mortgage company. There are many costs in buying a home that will not contribute to paying off your mortgage, such as taxes and stamp duty. The First Home Owner Grant can help to offset these costs, while the current First Home Owner Grant has also been designed to make purchasing a newly built home more appealing.
Previously, the First Home Owner Grant was set at $7000. It has now been changed to aid in the affordability of homes for new buyers. This has increased the base First Home Owner Grant to $14000 for an established home. Previously, a newly built home offered no more money in the grant, but as the amount of housing for sale has decreased, to stimulate more construction the First Home Owner Grant provides $21000 for someone buying a newly constructed home.
Many mortgage calculators do not factor in the additional costs of buying a home, so that often people who are new to property investment may not realise that their deposit is likely to be reduced by stamp duty and taxes. As these charges apply regardless of mortgage types chosen or any other choice made with a mortgage company, using the First Home Owner Grant is the only way to offset those costs.
Please visit our comparison page if you would like to compare home loans and mortgages or browse our mortgage company profiles if you are interested in reading about a specific mortgage company.
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