1st home owner grant to double

The gov't will announce the doubling of the first home owners grant today for new and old homes. What will this mean for homes in your area in a low interest rate environment.

See what's happening at www.cashflowproperties.co.nz

Make that a triple of the first home buyers grant!!!

See what's happening at www.cashflowproperties.co.nz

It's triple for new homes and double for established. I think it is madness, even being eligible.

It is really a good news to me. As I am a first home buyer and I pulled out last week from a deal after found it had serious termite attacked before. I did lost 1600 for the whole process.

Great for me

Put in an offer for a home 6 months ago that was rejected. The house ended up selling for less then my first offer

Now looking to purchase in 2 - 3 months time when prices have fallen a little more

I don't own a property but am in a position to buy very soon so this is very encouraging news that is tending me more and more so towards property over shares.

Can i ask a stupid question? I know it is silly but i just want to be absolutely sure about this.

The government  is giving a grant for houses. Are apartments considered houses? Subsequently are they eligible for the grant too?

Does anyone know when the payments will increase?  Is it from today

They certainly are eligible Jeffrey; it's a first home owner's grant, not a first house owners grant.

This is all I've been able to find so far Gibbo:

The first-home buyers scheme will be time limited. All contracts entered into by June 30 next year will be eligible for the new assistance.
It implies that any new contracts started as of now will be eligible, but it may be a bit rough for anybody who signed one yesterday.

Whoa that changes things :) We have two properties to go on the market this weekend - maybe best to hold off in case this news brings a mini boom.......

CHeers,
Matt

man ! that sucks !  I signed a contract 2 weeks ago !

Surely they could have back dated it to include contracts for this financial year !  This is biased against people who have bought first properties already !

This ucks !

Cheers

wian

Which is exactly what worries me with it.

It's a get in quick deal. Does everyone realise that the 21K expires at the end of this FY and the 14K too? From July 1 next year its back to 7K all around. Sell, sell, sell and put 7K on top. Build, build, build and put 14K on top. You've got 9 months to get a loan or make some cash.

I realise that construction needs a boost and fully support doubling the grant for new home buyers - even tripling (though that is pushing it) but the established home buyers grant should have been left alone.

I fear this will create a mini boom from now until June 2009 and that the resultant drops and possible foreclosure rate to follow it may be devestating. We weren't quite as bad as America with it's subprime (even though our prices are more over-valued) but after this...

Not sure if i am able to get this extra grant or not,
I paid .25% to the agent to hold the property,  my 10 day cooling off period expires tomorrow, i have not yet paid the full 10% deposit.

So any views as to whether i might get this extra $7k  grant.

Did you place a STF clause in the contract?

Have your banker write a letter to say you have been declined for finance.  You will not lose any money.

is there any way you can legally change the date of the contract if you havent settled yet?  Also, does this grant apply for the settlement date, or the date you put down yr 10% deposit ?

cheers

hmmm a few people have been asking (wian & trustieone) about backdating and wondering if they are eligible for the 14k grant since it has been introduced after their transaction processes were started.

Have you guys lodged your applications yet? If not, then since you bought your properties after 2000 the date the ACT was introduced my thoughts are that you would be eligible for the 14k!

Am i correct? Also, the application says that you are not allowed to apply if you have already lodged an application however if you have lodged an application and canceled and given the money of the grant back then you may apply again. Although i am sure you will probably only be allowed to cancel with good reason.

Just some thoughts,

Jeff

You could also slip the vendor $1000 cash to mutually cancel the contract, then resign a new one with the same settlement date.

Beautiful

some vendors may want to get greedy and slit the difference 50/50

still a goer but wait fellow tax payer is this moral ?

Hehe ! i love the irony in this comment !  There are only 2 certainties in life - Death and Taxes !  hehe !  I personally dont think that stamp duty is moral - ( Especially in Victoria )

my situation is that i signed the contract 2 weeks ago, and the form has been lodged with the state revenue office

I am speaking to my bank manager tomorrow - hopefully, i may be able to get around it

cheers

Wian