Michael Johnsen MP, Member for Upper Hunter first home buyers and the construction industry are big winners under a targeted boost by the NSW Nationals in government to eliminate stamp duty on newly-built homes below $800,000 and slash thousands of dollars for properties up to $1 million.
“This is a fantastic opportunity that I encourage our local first home buyers and those planning to build a new home to take advantage of,” Mr Johnsen said.
“This boost will provide much needed support for housing construction across our Upper Hunter electorate and support local jobs in the building industry at a time when we need them more than ever before.
“Hundreds of our residents could see their bank balances benefit from this change – that dream of owning or building a new home doesn’t have to be just a dream.”
Under the changes the threshold above which stamp duty will be charged on new homes for first home buyers will increase from the current $650,000 to $800,000, with the concession reducing on higher values before phasing out at $1 million.
Stamp duty threshold on vacant land will rise from $350,000 to $400,000 and will phase out at $500,000.
The change to the thresholds will only apply to newly-built homes and vacant land, not to existing homes, and will last for a 12-month period, commencing on 1 August 2020. Other purchases will continue to benefit from existing schemes.
Mr Johnsen said the changes would save first home buyers stamp duty of up to $31,335 on a new $800,000 home.
“The NSW Nationals in government will continue to deliver for regional NSW.”
The NSW Government will also continue to offer a $10,000 First Home Owner Grant, which is available to people buying a new first home worth no more than $600,000, or buying land and building a new first home worth no more than $750,000 in total.
More information on the first home buyer assistance schemes will become available here: revenue.nsw.gov.au/grants-schemes/first-home-buyer/assistance-scheme
INDICATIVE TAX THRESHOLD CHANGES
|Property type||Existing stamp duty amount for eligible first home buyers||New stamp duty amount for eligible first home buyers||Saving|
|Vacant Land $350,000||$0||$0||No change|
|Vacant Land $400,000||$7,793||$0||$7,793|
|New home $650,000||$0||$0||No change|
|New home $700,000||$10,445||$0||$10,445|
|New home $800,000||$31,335||$0||$31,335|
|New home $900,000||$35,835||$20,168||$15,668|
|Existing home $650,000||$0||$0||No change|
|Existing home $800,000||$31,335||$31,335||No change|