The First Home Owner Grant Guide: Northern Territory - Pearl Financial

The First Home Owner Grant Guide: Northern Territory

By Shane | First Home Buyer

Mar 09

The Northern State Government initiated to help first home owners get into their first new home sooner through the Northern Territory First Home Owner Grant. It’s a grant paid by the Northern Government to eligible first home owners.

The First Home Owner Grant NT provides assistance of $26,000 to eligible first home buyers. It’s only available to first home buyers who enter into a contract to build or buy a new home. You may also double check with your state government the available grants and concessions in your area before buying your first home, as they tend to change at short notice.Generally, first home buyers are eligible for the First Home Owner Grant if they meet the eligibility criteria.

An applicant must be natural persons that is not a company or any person acting as a trustee. The transaction must be the purchase or construction of a new home that hasn’t been previously occupied or sold as a principal place of residence. A new home also includes a property that has been considerably renovated and built to replace demolished premises.

Any of the applicants, if applying with a spouse or a partner, needs to be at least 18 years of age and an Australian citizen or a permanent resident of Australia. An applicant must have never held a relevant interest in a residential property before July 1, 2000, either jointly, separately or with some other individual in any state or territory of Australia.

The applicant must not have previously accepted the First Home Owner grant in any state or territory of Australia nor have occupied a residential property in Australia that was owned by any of the applicants on or after July 1, 2000. The home has to be occupied for a continuous period of at least six months by at least one applicant as a principal place of residence and within twelve months of the completions date of the approved transaction.

 

Thinking of buying an established home?

You will, unfortunately, be ineligible for the Northern Territory First Home Owner Grant as one of the eligibility criteria requires you that your purchase must be a new home. Nevertheless, you may still be entitled to a stamp duty concession.

On the other hand, your application must be accompanied by a completed vendor declaration if you’re claiming the Northern Territory First Home Owner Grant on the purchase of a new home. Generally, buying a property requires you to pay a state tax called stamp duty. But, there are circumstances where eligible first home buyers may receive a discounted stamp duty tax instead of paying the full rate.

A First Home Owner Discount was introduced on May 24, 2016 to provide assistance to first home buyers in the purchase of an established home in the Northern Territory.  It provides eligible first home buyers who purchased an established home between May 24, 2016 to June 30, 2017 with a reduction of 50% of the stamp duty or payable up to a maximum discount of $10,000.

There’s also a stamp duty discount by the Northern Territory Government known as the Principal Place of Residence Rebate (PPRR). It’s an amount up to $7,000 off the total stamp duty payable and is offered to persons purchasing a new home or land on which to build a home.

You can look for a specialist mortgage broker to assist and help you find a suitable home and home loan depending on your financial condition. You can complete the enquiry form and you’ll be certainly contacted as soon as possible.

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About the Author

Shane specialises in helping Gen Y professionals and business owners make an impact by accumulating more assets, generating more income, and having more time to enjoy life. He has a Master of Applied Finance, an MBA, and a Master of Financial Planning. He is also a terrible golfer.

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