I’m just curious to know that if a wrap client was to default do they have to repay back their first home owners grant?
Depends which State you are referring to.
In Qld for example the purchaser is now required to provide a Stat Dec confirming that the loan repayments are upto date and that you do not intend to default in the instalments.
Given that the Grant is not payable until either:
1) 10% of the Instalment Contract Price has been repaid.
2) The Contract has been on foot for a minimum period of 1 year.So if you default during the year you will not receive $7000.
In all of our Contracts the Grant is payable as the deposit so if it is not received when due the purchaser is in default of the contract and specific remedies apply.
Cheers Richard
richard at fhog.com.au
http://www.fhog.com.auThere is no such thing as a problem.
Just a solution waiting to be foundRichard Taylor | Australia's leading private lender
In Victoria, as part of the application, the buyers have to sign a statement which says that in the event they don’t complete the contract, the FHOG is repayable. The onus is on them to notify the SRO if they don’t complete.
Whether or not the SRO would chase them for repayment, who knows!Keep smiling
Felicity
Thanks for that info. I’m asking in regards to Victoria acutally
has anybody ever heard of a real life situtation when that has happened, and what happened with the SRO?
regards,
InfiniteWell, I’m in the process of removing a defaulter now, and believe me, the SRO is going to know he didn’t complete!!!
Particularly as the FHOG was supposed to be his deposit, he kept stalling me about it, and I found out later he received it (changed the paperwork so he got it by cheque instead of it going into my bank account) and he still says he never got it. Grrrrr…..
I can’t believe how many mistakes I made with this guy. Sigh…. [blush2]
Learning curve….
Keep smiling
Felicity
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