As of July 1 first home-buyers in NSW who buy a home worth up to $650,00 will not pay stamp duty and there will be a sliding rate of concession available for properties worth up to $800,000.
What about First Home Buyer Grants in NSW?
Those first-time owners building a new home which when combined with the price of the land itself is worth up to $750,000 will be eligible for a $10,000 FHBG.
Those first-home buyers who purchase a new home worth up to $600,000 will be eligible for a $10,000 FHBG.
What does it mean for buyers in NSW?
For first-time buyers in NSW, the stamp duty savings will allow some to borrow more money which will increase their buying power, says Bakos.
“For a lot of these buyers, we can anticipate that their borrowing capacity will be extended by at least an additional $100,000. It will be quite a significant impact,” she says.
“It’s certainly not going to change the dwelling type for a buyer from say an apartment to a house, I think that’s unrealistic given the prices in the tightly-held inner areas of both capital cities. But it will certainly make a difference.
“The concern that I have is that I think it will change the very market it’s trying to help because I think values in that critical segment for first-home buyers ($400,000-$800,000) will be pushed up by this availability of funds,” she says.
Where can I go for more information?
The NSW Office of State Revenue also has a great website with a stamp duty calculator to help first-time buyers work out which concessions and grants apply to their individual circumstances.