A re-elected NSW Liberal and ³Ô¹ÏÍøÕ¾s Government will give first home buyers the opportunity to ditch stamp duty for the rest of their lives, saving them tens of thousands of dollars on each home purchase.
Under the plan, the Liberal and ³Ô¹ÏÍøÕ¾s popular First ³Ô¹ÏÍøÕ¾ Buyer Choice program will be expanded so that:
· ³Ô¹ÏÍøÕ¾ owners who choose to pay a small annual fee on their first home instead of a large upfront stamp duty will be able to opt in to the annual fee on future property purchases, until they choose to pay stamp duty;
· Buyers who purchased a property after 11 November 2022 and received stamp duty exemptions or concessions under the First ³Ô¹ÏÍøÕ¾ Buyer Assistance Scheme will also have the option to choose a small annual fee instead of stamp duty on future property purchases;
· The $1.5 million price threshold on eligible properties will increase by $50,000 each year starting from 2023-24, widening the range of properties that can be purchased.
Premier Dominic Perrottet said this was all about giving families more choice throughout their home ownership journey so they can live in the right home at the right time of their life.
“We know that stamp duty is a significant barrier to home ownership, particularly for young people and families trying to break into the market for the first time,” Mr Perrottet said.
“We’re making it easier for first home buyers, many of whom are families, to reach the dream of home ownership sooner as well as give them more choice into the future.
“This expansion gives families more choice when buying their next home, making it easier to upsize, move closer to loved ones, or relocate for a new job or when the kids start school.
“Backing first home buyers is only possible because of the Liberal and ³Ô¹ÏÍøÕ¾s long-term economic plan to keep our state moving forward.”
Treasurer Matt Kean said first home buyers had already been flocking to the Liberal and ³Ô¹ÏÍøÕ¾s’ scheme since it opened on January 16.
“Almost 1500 first home buyers have opted to ditch stamp duty for a small annual fee despite Labor’s desperate and dishonest scare campaign,” Mr Kean said.
“In fact, Chris Minns’ very own constituents have rejected his spin with Bayside LGA having the second highest uptake of First ³Ô¹ÏÍøÕ¾ Buyer Choice to date.
“Under our policy, a family who buys their first home in Western Sydney for $1 million, sells it after five years and buys their second home for $1.5 million could save more than $90,000 over their first decade as home owners.
“Under Labor, that same family will have to pay more than $106,000 in stamp duty.
“Labor’s obsession with scrapping First ³Ô¹ÏÍøÕ¾ Buyer Choice and forcing young people to pay stamp duty is a threat to thousands of families’ dreams of home ownership.”
Under the proposed expansion of the First ³Ô¹ÏÍøÕ¾ Buyer Choice scheme, owners can only hold two properties at any given time. If they buy a third home, they will need to pay stamp duty on the purchase price.
Since the FHBC program opened, almost 1,500 buyers have opted in, saving a combined $56.2 million in stamp duty.
