Generous first home buyer and stamp duty concessions in four states and territories are due to wind up at the end of the current financial year, according to leading mortgage broker Priority Lending.
Priority Lending Corporate Spokesman Paul Smith said four schemes end on June 30 and two will finish on July 1 in a development which could generate a winter time flurry of first time buyer activity.
Mr Smith said the biggest impact would be in Victoria where bonus schemes worth almost $20,000 to first home owners in regional areas would cease.
“A first home bonus of $13,000 which has operated for three years and a $6,500 regional bonus for first time buyers will be wound up inVictoriaon June 30,” he said.
“These schemes will not be replaced but the Victorian government instead will increase stamp duty discounts for first home buyers from January 1, 2013.”
Mr Smith said in South Australia grant of $8,000 available to people who qualify for the federal government’s $7,000 first home owners grant will be reduced to $4,000 from July 1 and abolished from July 1, 2013.
“The Federal Government’s $7,000 first home buyers’ grant, which has been in place for more than a decade, will continue to be offered nationwide,” he said.
Two other schemes to finish at the end of the current financial year are the NSW Government’s home builder’s bonus and the ACT Government’s home buyer concession scheme.
Mr Smith said the combination of lower interest rates and the end of these concession schemes could draw more first time buyers out over the next month.
“Another reduction in the cash rate by the Reserve Bank of Australia at its June meeting next week could be an added incentive for first time buyers,” he said.
Source: Priority Lending
