First homebuyer affordability improved on more than one front when the calendar changed over to 2017. Building a new home is now more affordable than it has been in years with available government grants and discounts totaling more than $45,000 for first home buyers.
First Home Owners Grant Increase
The First Home Owners Grant increased from $10,000 to $15,000 on 1 January 2017. The $5,000 temporary boost is the first increase since the grant went from $7,000 to $10,000 in September 2013. The $5,000 boost is available until 31 December 2017.
Opposition treasury spokesperson Ben Whyatt supported the increase in the grant. He provided peace of mind for new homebuyers by confirming that Labor would not remove the boost if they won government at the March election.
Keystart Home Loans Scheme
Income eligibility for the Keystart Home Loans scheme also improved on 1 January 2017. Keystart provides affordable, low deposit home loans with no lenders mortgage insurance (LMI). The State Government loan scheme assists first and subsequent home buyers and requires only a 2% deposit on homes in the metropolitan area. Part of Keystart’s loan book was sold off last year which has allowed for more lending and improved salary eligibility.
Under the changes, Keystart's metropolitan income limits will rise by $20,000:
- Singles – income up to $90,000, previously $70,000
- Couples – income up to $115,000, previously $95,000
- Families – income up to $135,000, previously $115,000
First homebuyers also pay no stamp duty on vacant land valued up to $300,000 and pay a reduced amount of duty on land up to $400,000. The combination of the First Home Owners Grant, the higher salary for Keystart loans and duty concessions to pay on vacant land makes building a new home this year very enticing for any new homebuyer.
WA Premier Colin Barnett said he expected another 650 people to buy or build a new home this year. The government sweeteners are expected to provide more than 3,000 extra jobs within the construction industry.
Whiteman Edge – Save over $45,000
Eligible buyers of a block of land at Whiteman Edge can take advantage of the Dream Big Bonus, a one-off payment of $20,024. The grant is provided by the Australian Government’s Housing Affordability Fund. With the government bonus and grants available you can save well over $45,000 on a new home at Whiteman Edge.
As a new homebuyer, the savings mean you can build your dream home for well under market price. But hurry, there are a limited number of grants still available so be quick to secure yours. Take a drive around the Whiteman Edge estate in Brabham and check out Start Right Homes’ display at 25 Kasanka Ave.
The Total Savings
For those first home owners who are eligible the savings include the following:
- Dream Big Bonus - $20,024
- First Homeowners Grant - $15,000
- Duty Concession - $13,000
For more information about the first homeowners grant and the duty concession, see the Department of Finance website.
More information about the Dream Big Bonus is available from the Stockland website.
See the Keystart Home Loan website for more information about loan eligibility.
If you would like to take advantage of the savings on offer, get in touch and we
will answer any queries you have.
Don’t forget, we offer a $1,000 referral bonus. If you recommend us to a friend or family member and they purchase a house from Start Right Homes, we’ll give you $1,000 cash! Ask a Sales Rep for more information.