Stamp Duty Breakdown - Changes 1st of July 2017
FIRST HOME BUYERS
Buying a new home valued up to $750,000 may be eligible for First Home Owner's Grant - $10,000 in Metro Melbourne, up to $20,000 in regional Vic
Exemptions & Concessions to paying Stamp Duty -
First Home Buyer:
Principal place of residency valued up to:
- $600,000 = expect full discount
- $600,001 - $750,000 = Concession scale
For a full scale breakdown view the State Revenue Office link here:
https://extranet.sro.vic.gov.au/SRO/SROCalcs.nsf/transfer?OpenForm
Other key considerations:
- All concessional discounts are only applicable to contracts entered into on or after 1st of July 2017.
- All purchasers and their partners must meet FHOG eligibility criteria (please ring George on 0401 026 565 with scenarios that best suit)
- At least one purchaser must use the home as principal place of residence (their home)for a continuous period of 12 months, starting within 12 months of being entitled to possession of the purchased property (which normally occurs at settlement).
OFF THE PLAN - PURCHASES
Off-the plan Concession - Important Changes as of 1st of July, 2017
Concessions are based on 2 basic scenario's such:
If the contract was signed Before 1 July 2017 -
Concession available for all property types including residencies purchased for investment purposes or commercial properties
If the contract was signed After 1 July 2017 -
Concession available only for purchases of a home (not investment). The transfer must also qualify for the Principal Place of Residency Concession or the First Home Owner Concession which impose a 12 month residence requirement and certain thresholds.
The concession is no longer available for off -the plan purchases of holiday homes or investment or commercial properties - These transactions incur full stamp duty from 1 July 2017.
If the off the plan purchase is NOT your first home, the home must have a dutiable value (after the Off-the plan concession has been applied) of $550,000 or less. Applicants must also meet all criteria for PPR Concession and live in the property for continuous period of 12 months
Feel free to call George with any specific scenarios you are unsure about:
George Lambadaridis
Finance Strategist | Victorian Financial Solutions
Phone: 03 9841 8111 or Mobile: 04 0102 6565
Or give Zeno Kobica a call on 0402 000 497.
Good luck in your property purchases!
