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First Home Owners Grant

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| 26 Feb 2012, 11:22 AM Agree 0
Hello everyone,

I am a first home owner looking to purchase a unit but rent it out for the first 6 months before moving in myself.
My understanding is that the First Home Owners Grant is received around settlement... providing you meet the criteria of course. I do meet the criteria providing i move in within the first 12 months of buying the unit.

I just have enough deposit with my current savings but was wanting to put the $7000 FHOG in an offset account to be able to use for emergencies but paying down the homeloan interest at the same time. Can anyone confirm if this can be done and as I wish to move in 6 months after purchase will I receive this $7000 grant straight away / or at settlement?

Thanks in advance
  • Smartline Chiswick | 26 Feb 2012, 10:42 PM Agree 0
    Hi t23,

    This can definitely be done as I have a client who has just done exactly that and has received the FHOG at settlement. You may wish to speak with an accountant prior to renting it out as it may open you up to capital gains tax implications.


  • Herman | 09 Mar 2012, 07:02 AM Agree 0
    Well may be you will be granted but if you fail to fulfill any single need you may be in trouble.
  • t23 | 16 Mar 2012, 08:26 AM Agree 0
    Ok kewl, thanks Shannon
  • Jamie M | 27 Mar 2012, 05:05 AM Agree 0
    Hi t23

    You could always hold back on $7k of your own cash. Speak with an accountant but CGT should only be applicable during the duration it's an IP. Double check though! I'm not an accountant.


  • ambermollers | 21 Jun 2012, 03:07 AM Agree 0
    In times like this, always ask for professional help.:)
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