Abolishing Stamp Duty for First Homebuyers: A New Era for Aspiring Homeowners in South Australia
Posted on 21/6/2024
Overview:
In an unprecedented move, the South Australian Government has abolished stamp duty for first homebuyers who buy or build new homes. This initiative applies to new freestanding houses, off-the-plan apartments, house and land packages, and vacant land intended for new homes. In addition, the existing First Home Owner Grant (FHOG) of $15,000 has been extended to all eligible first homebuyers, further easing the financial burden and accelerating the path to homeownership.
As part of the 2024-25 Budget, the South Australian Government has abolished stamp duty for first homebuyers who buy or build new homes. This initiative applies to:
- New, freestanding houses
- Off-the-plan apartments
- House and land packages
- Vacant land earmarked for building your new home
Combined with the existing $15,000 First Home Owner Grant (FHOG), this initiative translates to significant savings that can be used towards your deposit or other upfront costs.
Save Money
One of the most immediate benefits of abolishing stamp duty is the significant cost savings for first homebuyers. Stamp duty, often a hefty upfront cost, can now be redirected towards other essential expenses such as a home deposit or moving costs. This initiative reduces the financial barriers to homeownership, making it a more attainable goal for many.
Increased Borrowing Power
By eliminating stamp duty, first homebuyers gain increased buying power. The money saved can be used to consider higher-priced properties that may have been previously out of reach. Additionally, these savings can help accelerate the timeline for saving a deposit, enabling buyers to enter the market sooner and with more financial stability. This increased flexibility allows buyers to explore a wider range of options and secure a home that better fits their needs and aspirations.
Enhanced First Owners Grant
Alongside the abolition of stamp duty, the First Home Owner Grant (FHOG) has been extended, providing an additional financial boost to first homebuyers. ‘The $15,000 grant can be combined with the savings from stamp duty to significantly lower the overall cost of purchasing or building a new home’.
The South Australian Government’s decision to abolish stamp duty for first homebuyers and extend the First Home Owner Grant is a transformative policy that opens new doors for aspiring homeowners. Perks Finance can help First Home Buyers navigate the homeownership process. To discuss how these changes can assist you or someone you know in achieving home ownership, contact us via the form below.
