Perth's First Home Buyer Incentives: A Comprehensive Guide to Grants and Schemes

Being a first home buyer in Perth comes with a mix of emotions. Excitement when, after refreshing Realestate.com.au for the hundredth time that day, a new property in your budget pops up. Determination when you inspect it and it’s everything you’re looking for. Sadness and disappointment when you’re outbid, or when there’s a costly problem found in the building inspection.

But when it comes to grants and schemes, all first home buyers should feel pretty chuffed.

WA has a couple of excellent first home buyer incentives, with grants and schemes to help you into your very first property.

Let’s take a look at some of the key incentives to watch out for, thanks to the team at Patrick Leo:

First Home Owner Grant (FHOG)

Most state governments have a grant for first home buyers, and WA is no different. According to the WA Government website, the first home owner grant (FHOG) is a one-off payment to encourage and assist first home buyers to buy or build a new residential property for use as their principal place of residence. The FHOG is a grant of $10,000 or the consideration paid to buy or build the house if less than that amount.

The takeaway is pretty simple: buy or build a new home, live in it, and get paid $10k. This grant, however, is only eligible per one transaction, so if you’re buying a home with your partner, you can both only receive one grant together.

Want to check your eligibility for the grant? Click here.

First Home Owner Rate (FHOR)

Free cash should never be turned down – and neither should discount stamp duty. Many first home buyers in Perth can access the First Home Owner Rate (FHOR). This is a duty concession which can be applied to certain transactions for first home owners. Sound good? You bet!

According to the WA Government, a person may be entitled to the FHOR if the unencumbered value of the land, or the land and home, under the transaction does not exceed the dutiable value thresholds (which are $530k for home and land, and $400k for vacant land).

For example, if the dutiable value on your home and land doesn’t exceed $430,000, then no duty is payable thanks to the FHOR. Not too shabby!

The Government also offers other duty concessions too, which can be read about here.

Looking at buying your first home in Perth? Patrick Leo can help with that. We’re an experienced team of property consultants, active right across Australia. We help first home buyers as well as seasoned investors when buying quality property that aligns with their financial plans. Our goal is to make you happier, richer and more financially free. Get in touch with our team today.