If I Transfer Property to My Spouse, Will Stamp Duty be Payable?

New Smoke Alarm Laws in Queensland

When is Stamp Duty Payable

Busting The Myths – I don’t need a will

Buying Vacant Land from a Developer

New REIQ Residential Contracts for Queensland

Buying Off the Plan – A Good Plan to Get Into the Market?

Joint Tenants or Tenants in Common?

Buying at Auction – What to Know

Domestic Violence and The Law

Estate Planning Matters

Retail Leasing in Queensland – Why a tenant needs a lawyer

The Merger of the Family Courts – What does it mean to you?

Things to Consider When Buying into a Retirement Village

Death of a Vendor – What Now?

Parenting Orders – What You Need to Know

The Dangers of a DIY POA

Transferring property after divorce

Finance – Off The Plan Purchases

Stamp Duty Concessions – What Can You Claim?

Can You Force Customers To Wear Face Masks?

Protected: Disputes With The ATO

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Inheritance Received Post Separation – Is it mine or ours?

Springwood Family Lawyers | Dangers of DIY Power of Attorney

What Isolation Plans Will You Make?

No More Excuses. You Need a Will

Springwood Lawyers | Terminating Contracts Due to the Coronavirus (COVID-19)

Springwood Conveyancer | What is e-conveyancing and PEXA?

First Home Loan Deposit Scheme | What is it? Are you eligible?

The new first home loan deposit scheme (FHLDS) aims to give first home buyers a leg up in the property market by reducing the deposit amount required to purchase a property.

First homebuyers were previously slugged with lenders mortgage insurance (LMI) if they did not come up with at least 20% deposit.

The First home loan deposit scheme works by providing a guarantee to first home buyers to purchase a property with as little as 5% deposit opposed to the onerous 20% required by most lenders. On a $500,000.00 property, that’s a whopping $75,000.00 difference!

 

The catch

Places are limited! The Australian Government has reported nearly 3,000 potential first homebuyers have registered with the banks since the 1st of January for the scheme. The remaining 7,000 places will open from the 1st February 2020. It is important that you have your finances in order, have spoken to a financier (i.e bank) and have started looking at potential properties.

 

Can you apply?

If you are a first time homebuyer then you are most likely eligible for the scheme. The Australian Government website  has a handy eligibility tool to see if buyers qualify for the scheme. In a nutshell, you will need to be a first home buyer and:

·         Pass the income test;

·         A prior property ownership test;

·         A deposit requirement; and

·         Pass the owner occupier requirement.

 

Next steps

Before you sign a contract of make an offer on a property, make sure you get legal advice to protect your interests. At McLaughlin & Associates Lawyers we have a team dedicated to residential conveyancing. We can assist you with pre-purchase contract conditions and also make sure the contract you sign protects your interests. See our page on Conveyancing for more info and guides for buyers and sellers.

 

Written by Dominic Doan, Commercial and Property Solicitor

 

For further information or to book in a consultation please contact us at business@mclaughlinlawyers.com.au or phone us on 07 3808 7777.

 

Have any questions? Send us an email:

Read some of our other residential conveyancing articles:

·          Buying a home and claiming PPR

 

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