The O’Farrell Government’s decision to slash First Home Buyers benefits by removing stamp duty concessions for existing homes will hit rural centres hard, according to the NSW’s peak industry body.
Stamp Duty exemptions
First-home buyers will no longer have their stamp duty fully subsidised by the state government unless they buy newly constructed homes.
This means that first home buyers are rushing to secure a property before the end of the year to save themselves a tidy sum in stamp duty.
The stamp duty exemption on existing properties is to be phased out at the end of the year. From New Year's Day, the concessions will only apply to new homes, including those bought off the plan.
While benefits will soon be cut for first home buyers in rural areas, their city cousins will still receive $7000 to relocate to regional NSW.
Removing stamp duty concessions for existing properties means some first home buyers in regional and rural NSW will not enjoy the same choice as offered to those in metropolitan communities
In NSW, first-home buyers currently receive an exemption from paying stamp duty for property purchases under $500,000, with graduated discounts between $500,000 and $600,000.
September 2011
