First Home Buyers Assistance Scheme with Tenant in Common

Lanphonie on 28/06/2023 - 15:59

Another person and I are about to apply for a home loan, and before doing so, we were wondering if we would qualify for the First Home Buyers Assistance Scheme. This would be after the 1st of July.

If we have a 50/50 share in the ownership of the house, would we be exempted or eligible for a concessional rate on stamp duty if we were to buy a house valued between 1-1.4 million dollars, utilizing the First Home Buyers Assistance Scheme? Or does the stamp duty exemption depend on the property value?

Financial First Home Buyer

Comments

  • jugsy on 28/06/2023 - 16:07
    +5

    I wouldve thought a house valued that highly would be well outside of any First home buyers assistance? https://www.revenuesa.sa.gov.au/taxpayer-stories/first-home-…

    • pharkurnell on 28/06/2023 - 16:53
      +5

      sounds correct

      A first home owner grant is available for new homes with a value of up to:

      $650,000 or less where the contract was entered into on or after 15 June 2023; or
$575,000 or less where the contract was entered into on or before 14 June 2023.
  • Drakesy on 28/06/2023 - 16:56
    +14

    Has enough for a $1-1.4 million house
    Still wants to use the FHBS

    Yeahnah sorry bud.
    If you have enough to service that you definitely will be outside the means test.

    • ChrisLevo on 28/06/2023 - 17:25
      +3

      And would reduce the money left in the pool for people who can't afford to spend that much.

  • We Out Here on 28/06/2023 - 16:58
    +5

    cringe. do your research before posting

  • Donaldhump on 28/06/2023 - 17:45

    if you buy tenants in common, don't you have to guarantee each others loans?

    • Aussiebargainer on 28/06/2023 - 18:52
      +3

      Just means if one person dies, it doesn't automatically go to the other party. They can decide who receives their 50% share, family member etc.

      • Donaldhump on 29/06/2023 - 09:44
        +1

        understand this, however I still thought you have to garuntee the others loans as well, as a bank can't really come in and sell half a house if person B defaults, refuses to pay.

        maybe not..

        • Aussiebargainer on 30/06/2023 - 10:40

          The loan is joint so there's no need to guarantee the other half. You are both equally responsible for paying the mortgage. If person B defaults then person A also defaults and the bank will take possession of the whole property. If person A dies then Person B will have to cover 100% of the mortgage, sell or negotiate with whoever received the 50% share or Person A.

  • hasher22 on 28/06/2023 - 23:25
    +2

    For NSW, yes: Stamp duty exemption depends on the property value

    From July 2023 you will only get concessional stamp duty from $800,000 and $1,000,000 and both persons need to be first home buyers.

    If you or the other person already claimed or has a property in their name (currently or prior), you're not eligible for anything. Also anything over 1m you're not getting any government grants no matter the circumstances.

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