As of 1 January 2012, first home buyers of existing homes will no longer receive the stamp duty exemption.
Exemption will only apply to new properties including “off the plan” properties.There should be a rush of buyers to “get in” before the new cut backs apply, forcing prices in the first home bracket to jump.
Should simulate the market
Andysydney wrote:There should be a rush of buyers to "get in" before the new cut backs apply, forcing prices in the first home bracket to jump.And then?
Ultimately, this descision will increase supply in a market where supply is already above what is required. What happens to the price of established homes in NSW next year?
If we had a crystal ball, that would help.
Supposedly that would increase demand for newer properties. The govt is throwing money left right and centre at, to stimulate the building sector. Even now you don’t need to be a first home buyer to get the exemption for new properties. Developers will be singing.
Then again, what about states like VIC that have not had concessions for FHB like NSW has – they get reamed the full amount of S/D just like the rest of us in VIC, and things still plug along. Buying a house in NSW as a FHB has been an opportunity and a half that really anyone in the market should have/be taking advantage of by now!
My brother relocated to Melbourne to build a new house and take advantage of the generous grants they were offering. He told me around $32k for first home owners. I haven’t checked it up though.
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