5,000 reasons to build your first home ASAP
Let’s face it - saving for a deposit to build your first home takes a lot of sacrifice.
So when the WA Government decided on 1 January to boost the already generous First Home Owner Grant (FHOG) from $10,000 to $15,000, it’s safe to say first timers everywhere were celebrating hard.
Imagine winning $5,000 out of the blue? You’d be super psyched. You could book a holiday, buy a new TV, pay off some credit card debt or upgrade the family car. Even better, you could use it towards the deposit for a new house.
That’s what makes the FHOG boost such a great opportunity – especially when you consider all up you’re getting $15,000, for free. That’s $15,000 you don’t have to borrow from the bank. And when you factor in the fees and interest you would’ve paid over the course of a 25-year loan, it’s more like $25,000.
It could be the difference between staying stuck in the renting game and finally realising your first home ownership dream. Yet it turns out us West Australians are an apathetic bunch, with many of us slow to take up this amazing opportunity (we’ve got plenty of time, right?). And as they say – nothing lasts forever. All good things must come to an end.
Treasurer and Finance Minister Hon. Ben Wyatt announced yesterday (17 May 2017) the $5,000 FHOG boost will end on June 30 this year. Why is this happening? Put on your Patriotic Sandgroper Hat for a moment and Mr Wyatt’s reasons are pretty valid.
"Ceasing the boost early will allow the State Government to fund higher priority areas while ensuring Western Australian first home buyers continue to be eligible for generous Government assistance,” he said.
"This action represents another $20 million saved over the forward estimates. It's another step towards budget repair." Fair enough. Even Dale Alcock has backed the move. “While unfortunate, the McGowan government’s need to make cuts is understandable and our industry must contribute, as all sectors must,” he said.
So what does this mean for YOU? Put simply, if you’re thinking of building your first home, you need to commit to it sooner rather than later.
Treasury has estimated around 90 people would likely bring their purchase forward to beat the mid-2017 deadline. Mr Alcock agrees this would be a smart move.
“First home buyers thinking of whether they should build should seize this opportunity now and take immediate advantage of the grant boost, before it ends next month.”
Don’t know much about he FHOG boost or whether or not you qualify? Time is of the essence, do here’s a quick crash course.
- $5,000 extra payment (on top of the existing $10,000 FHOG)
- Available to eligible first home buyers in WA
- Applies to new home purchases up to the value of $750,000 (up to $1 million if the home is located north of the 26th parallel)
- Buyer must enter into a contract prior to June 30 2017.
Remember – “someday” isn’t a day. But Friday is. And Friday June 30 is coming up fast.
You’ve got 5,000 amazing reasons to beat the clock. Build now and look back on today in celebration.
To find out if you qualify for the FHOG boost get in touch today and we’ll talk you through how you can take advantage of this exciting opportunity by building now.