Changes to FHOG and Keystart Announced
The Western Australian Government has announced changes to both the First Home Owners Grant (FHOG) and Keystart loan eligibility criteria aimed in an attempt to increase access to funds for first home buyers, and stimulate urban construction.
The Urban Development Institute of Australia (UDIA) officially published the following:
While no changes have been made to the FHOG for established homes, purchasers of existing dwellings will still have access to stamp duty concessions, which currently apply a discounted rate of duty for purchases up to $530,000.
The changes align with UDIA’s State Election advocacy campaign which recommends an increase to the FHOG, reducing income thresholds and increasing price caps for eligibility. They also deliver on UDIA’s broader advocacy for the government to take a greater role in stimulating the economy, drive investment and recognise the key role that the urban development sector plays in employment, economic activity and growth throughout Western Australia.
In a statement issued today by Deputy Premier Liza Harvey, Keystart is reported to have received over 160 enquiries a day since the initial announcement was made about the changes. UDIA hopes to see this increased level of enquiry translate quickly to higher levels of purchaser activity in the first home buyer market.
Further information about the First Home Owners Grant (FHOG) including eligibility criteria, can be found here. Further information about Keystart eligibility, including income limits, purchase price caps and deposit requirements can be found here.
For further information or advice on how these new changes may affect you, contact Western Australia’s leading settlement specialists at Vicki Philipoff today.