Victorian first home buyer grants to change

The withdrawal of the $7,000 first-home owner grant (FHOG) in Victoria from July 1 is likely to create a rush among some first home buyers to finalise purchases before July 1. The market is then expected to drop off.

The introduction of the new $10,000 first home buyers for brand new homes from July 1 will come alongside the raising of stamp duty concession for first home buyers from 30% to 40%.

A first home buyer of a $300,000 existing home from July 1 will lose out on almost $6,000 in government incentives while a FHB purchasing a $550,000 will lose just over $4,000.

Source: Property Observer