FHB NSW Stamp Concession - Available for IP?

Discussion in 'The Buying & Selling Process' started by izzy16, 7th Jul, 2017.

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  1. izzy16

    izzy16 Well-Known Member

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    Just wondering if the new stamp duty concessions for first home buyers in NSW are available for an investment property? Or only to owner-occupiers?

    Reason I ask is I'd like to take advantage of it as a FHB but am very happy/settled where we are renting at the moment, so would like to take advantage of it for investment purposes.

    Thanks!
     
    izzy16, 7th Jul, 2017
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  2. Scott No Mates

    Scott No Mates Well-Known Member

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    What is the intent of the grant?
     
    Scott No Mates, 7th Jul, 2017
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  3. Dan L

    Dan L Well-Known Member

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    The home must be occupied by at least one of the purchasers as their principal
    place of residence for a continuous period of at least 6 months, with that occupation starting
    within 12 months after completion of the purchase.
     
    Dan L, 7th Jul, 2017
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  4. izzy16

    izzy16 Well-Known Member

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    To help first home buyers get into the property market? Which would apply here.
     
    izzy16, 7th Jul, 2017
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  5. izzy16

    izzy16 Well-Known Member

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    Thank you!
     
    izzy16, 7th Jul, 2017
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  6. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    I know you could interpret the wording a little, but it says HOME, not INVESTMENT PROPERTY. You have to move into the property within 12 months of purchase.

    I do think it would be reasonable to help everyone buy their first property regardless of the purpose, but it's politically correct for the government to help owner occupiers, nobody cares about investors.
     
    Peter_Tersteeg, 7th Jul, 2017
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  7. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    There may be two benefits of moving to the new property for an initial period

    1. First Home Buyers Grant if you live there for 6 months
    2. 6 year CGT main absence absence rule would apply (only if you commence to reside in the property and then move out)

    Note too that if you bought an IP and didnt move in the first home buyers grant can not apply to a next purchase
     
    Paul@PAS, 7th Jul, 2017
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