Whether you are a first-time buyer looking to purchase real estate in Melbourne or elsewhere in Victoria, it is important to be aware of new changes to real estate grants that could impact the funding you are eligible to receive from the state government.
From the beginning of the 2013-14 tax year, the First Home Owners Grant will be expanded from $7,000 to $10,000, but will only be available to those whose first home is a new-build property.
This change, according to Victorian treasurer Michael O'Brien, will provide an important shot in the arm for the state's construction industry and could ease pressures on its housing market.
In addition, all first-time buyers, regardless of what kind of real estate they purchase, will be eligible for a stamp duty cut of up to 40 per cent. Mr O'Brien said raising this threshold will help to offset the impact of the changes on the first-time buyers who choose to buy established properties instead.
He explained: "Targeting the grant to newly constructed homes – whether in regional Victoria, Melbourne’s growth corridors or new CBD apartments – will stimulate the economy and create jobs in the construction sector.
"These measures will promote more housing construction leading to more employment, greater housing supply and reduced residential price pressure for Victorian families."
