The First Home Owner Grant (FHOG) is the largest grant offered to first-time home buyers in Australia. Apart from the FHOG, there are other strategies to save on costs, one of which is avoiding stamp duty. If your first home is valued up to $500,000, you can benefit from a complete exemption from paying stamp duty in Queensland.
Can the FHOG be used for off-the-plan purchases?
Yes, most certainly! This is when the property has not been constructed yet, and you buy from the floorplan. You can purchase your first home off-the-plan to be eligible for the FHOG Queensland application. So, now you access the value in purchasing a new home off-the-plan, plus you receive the FHOG grant! This makes it an ideal option for first home buyers who want to save on costs and have a say in their new home’s design. Moreover, you also have time to save for closing costs while your new residence is being built.
Can the FHOG be used for buying an established home?
This one is a bit more complicated. You can access the FHOG when buying an established home that has undergone significant renovation. This involves removing or replacing most of the building, including altering foundations or floors. Cosmetic work like painting walls or sanding floors doesn’t qualify as a substantial renovation for the FHOG in QLD.