NEWS

FIRST HOME BUYERS ASSISTANCE SCHEME 

As at 1 July 2023 the NSW government is changing the FIRST HOME BUYERS ASSISTANCE SCHEME (FHBAS).  The Transfer duty (stamp duty) exemption threshold for new and existing homes purchased by eligible First Home buyers will increase from $650,000 to $800,000. There will be a concession on duty for homes purchased between $800,000 and $1 million.

In addition to the increase in the threshold, they have also increased the residence requirement. For those buyers eligible for FHBAS or a First Home Owner Grant  on or after 1 July 2023, they must move into their homes within 12 months of settlement and live in the property for a continuous 12-month period to satisfy the residence requirement. 

The Government is also closing off access to FIRST HOME BUYER CHOICE (FHBC) which was introduced in January, on 1 July 2023. First Home buyers who prior to 1 July 2023 opt in or have already opted into FHBC will continue to pay property tax for as long as they own that property and will remain exempt from transfer duty on that purchase. This choice is only available to eligible First Home Buyers.

SHARED EQUITY HOME BUYER HELPER

NSW Government has introduced an initiative to assist eligible buyers to own their own home in NSW by contributing up to 40% of the purchase price for new properties or up to 30% for established properties in exchange for an equivalent interest/share  in the property.

The initiative is open to:

• single parents of a dependent child or children
• single people 50 years of age or above, or 
• first home buyer key workers who are nurses, midwives, paramedics, teachers, early childhood educators or police officers.

To be eligible to apply buyers must:

* be 18 years or over and an Australian or New Zealand citizen or a permanent Australian resident

* have a gross household income of no more than $90,000 for singles and $120,000 for couples

* the home must have a maximum price of $950,000 in Sydney and major regional centres (Newcastle & Lake Macquarie, Illawarra, Central Coast and North Coast of NSW), or $600,000 in other regional areas of NSW

*  have a minimum deposit of 2% of the total purchase price and be able to pay conveyancing costs & stamp duty

*occupy the property as their principal place of residence

*  not currently own any land or property

*  not be able to service the mortgage for the property purchase without the government contribution but be able to service the mortgage with a participating lender with the government contribution.

LAND TAX

As of 1 February 2024, persons who purchase and occupy a property but own less than 25% interest (either solely or combined) in it, will not be entitled to the principal place of residence exemption from the 2025 land tax year onwards. 

As of 6 June 2023 you will be able to access land tax via your MyServiceNSW Account. You will be able to view and manage your Land Tax online from your My ServiceNSW Account after adding it to your services.  You will also be able to  

• lodge a return, request an exemption or make any changes to property details
• access current and past notice of assessments
• pay your land tax and set up an extended payment plan
• update your notifications preference to digital.

CHANGES TO THE  RESIDENTIAL TENANCY LAWS started on 23 March 2020, with amendments to the Residential Tenancies Act 2010 (the Act) and the new Residential Tenancies Regulation 2019 (the new Regulation).

Some key changes are: "Fit for habitation" minimum standards; smoke alarm obligations; mandatory set break-fees for fixed term agreements; new standard form agreement; changes of a "minor nature"; new Landlord Information Statement. 

Video conferencing technology like Skype, WhatsApp, FaceTime, Microsoft Teams and Zoom can now be used in the witnessing of important legal documents like wills, powers of attorney, affidavits and statutory declarations. This was first introduced as a temporary regulation made on 22 April 2020 by the Governor to help reduce face-to-face contact during the COVID19 pandemic 

On 29 November 2021 the operation of Part 2B of the Electronic Transactions Act 2000, was extended indefinitely by the Electronic Transactions Amendment (Remote Witnessing) Act 2021 (NSW).  

A witness must see a person signing the document in real time to confirm the signature is legitimate. These changes will make it easier for people to stay home and reduce physical interactions, while still completing important transactions.