VIC - FHOG

Discussion in 'Investor Stories & Showcase' started by vnet, 9th May, 2020.

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  1. vnet

    vnet Member

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    Hi,

    I would like to buy an house less than 5 years old in regional Victoria.

    How can I be sure that I will be eligible for the FHOG?

    Thanks,
     
    vnet, 9th May, 2020
    #1
  2. Ko Ko Naing

    Ko Ko Naing Well-Known Member

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    Ko Ko Naing, 9th May, 2020
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  3. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    If the house is 5 years old, you won't get the FHOG. It's for brand new properties where you're the first person to live in it. If someone else has already lived in it, the FHOG doesn't apply.

    However if you purchase for less than $600k, you may not have to pay stamp duty on it.
     
    Peter_Tersteeg, 9th May, 2020
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  4. vnet

    vnet Member

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    So the house needs to be than less than 5 years old and always empty?

    Thanks,

    Vincent
     
    vnet, 10th May, 2020
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  5. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    I don't know how old the house can be, but if you're the first home buyer, you must be the first person to occupy the house to be eligible to receive the $10k (metro) or $20k (regional) grant.

    Generally this grant is only applied in the following scenarios:
    * House and land development.
    * Off the plan development.
    * Developer builds the property and you buy it and are the first person to occupy it.
     
    Peter_Tersteeg, 10th May, 2020
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  6. vnet

    vnet Member

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    So if the house has already had 1 owner living in it I will not be able to apply for the FOGH grant.
     
    vnet, 10th May, 2020
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  7. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    Yes. New houses only.

    You would still be eligible for the stamp duty reductions though.
     
    Peter_Tersteeg, 10th May, 2020
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  8. vnet

    vnet Member

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    It is strange when I called the State Revenue Office they told me that if that was the 1st time the house was sold and the house is less than 5 years I will be able to apply for the FHOG
     
    vnet, 11th May, 2020
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  9. Lindsay_W

    Lindsay_W Well-Known Member

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    Yeah so a brand new house that's less than 5 years old but never owned by anyone else previously would be eligible, but it sounds like you'll be the second owner of the property you're looking to buy as you mention someone has already lived in it?
     
    Lindsay_W, 11th May, 2020
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  10. Peter_Tersteeg

    Peter_Tersteeg Mortgage Broker Business Member

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    I don't know of many houses that have been built then sat empty for 5 years. Technically it might be eligible, but proving eligibility would be fairly difficult.

    You may be thinking of a display home. The developer has occupied this as part of their business strategy. It probably wouldn't be eligible.
     
    Peter_Tersteeg, 11th May, 2020
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