What Is the First Home Owner Grant?
Lodgement Guide & Application form
How much is the grant?
First Home Bonus
Are you eligible to receive the grant?
What types of transactions are eligible?
Which homes qualify?
What if the home is not in Victoria?
Who is required to be an applicant?
Spouse/Partner details
How and where do you apply for the grant?
Supporting evidence
Proof of identity documents
When will the FHOG be paid?
Can a decision be appealed?
Penalties
Making a false or misleading statement
Confidentiality and privacy
Other concessions

1. What is the First Home Owner Grant?

The First Home Owner Grant (the grant) scheme was established to encourage and assist home ownership and to offset the effect of the GST on home ownership by providing a grant to first homeowners. The First Home Owner Grant Act 2000 (the Act) came into effect on 1 July 2000 and the grant is an on-going scheme with no end date yet specified.

The grant is not means-tested nor is it restricted by the price of the property. We administer the grant with the help of a number of banks and lending institutions who are approved agents.

2. How much is the grant? 

A payment of up to $7000 is payable to eligible first home owners.

First Home Bonus

If you are eligible to receive the grant, you may also be entitled to receive an additional payment of $3,000 or $5,000 (subject to meeting certain requirements), which is known as the First Home Bonus (the bonus). For contracts entered into on or after 6 May 2008, an additional bonus of $3000 is also available in addition to the $5,000 bonus for the purchase or construction of a new home in a regional municipality in Victoria. You do not have to complete a separate application form for the bonus as your eligibility will automatically be considered when you apply for the grant.

3. Are you eligible to receive the grant?

To be eligible to receive the grant, the following criteria must be satisfied:

• You and your spouse/partner must not have received a grant in any State or Territory of Australia.

• You and your spouse/partner must not have owned residential property, either jointly, separately or with some other person prior to 1 July 2000, in any State or Territory of Australia

• You and your spouse/partner must not have occupied for a continuous period of at least 6 months, a residential property in which either of you acquired a relevant interest on or after 1 July 2000 in any State or Territory of Australia.

• You must be a natural person (not a company) and at least 18 years of age at the time of settlement or completion of construction

(Note: the Commissioner of State Revenue (the Commissioner) has a discretion under the Act to exempt an applicant from the age requirement where the home will be occupied as the applicant’s principal place of residence). 

• You (or at least one applicant) must be a permanent resident or Australian citizen at the time of settlement or completion of construction of the home

(Note: A permanent resident includes the holder of a permanent visa under section 30(1) of the Migration Act 1958. New Zealand citizens holding a special category visa under section 32 of the Migration Act 1958 also satisfy this requirement).

• You (or at least one applicant) must occupy the home as your/their principal place of residence for a continuous period of at least 6 months, commencing within 12 months of either settlement or completion of construction.

(Note: The Commissioner may approve a lesser period if he is satisfied that there are good reasons why you cannot comply with the 6-month requirement. The Commissioner also has a discretion to extend the 12-month period if satisfied that you cannot occupy the home within 12 months of settlement or completion of construction due to circumstances that were unforseen and beyond your control. If you wish to have the Commissioner exercise his discretion, you should contact us in writing as soon as you are aware that you may not be able to satisfy the residency requirement and provide reasons.)

4. What types of transactions are eligible?

On or after 1 July 2000 each applicant must have:

• entered into a contract of sale or agreement for the purchase of a new, established, or off the plan home in Victoria; or
• entered into a contract to build a home on their land in Victoria; or
• in the case of owner builders, commenced construction (laying of foundations) of a home on their land in Victoria.

5. Which homes qualify?

A home that qualifies is a building that may be lawfully used as a place of residence and is, in the Commissioner’s opinion, suitable for use as a place of residence. This includes new or existing homes such as a:

• House
• Flat
• Unit
• Townhouse or apartment located anywhere in Victoria, and
• Moveable home relocated onto land owned by the applicant.

The home must be used as your principal place of residence for a continuous period of at least 6 months. You must move into the home within 12 months of the date of settlement (in the case of an existing home), or the date construction is completed (in the case of a home built under a comprehensive building contract or as an owner builder).

6. What if the home is not in Victoria? 

Each State and Territory in Australia has its own grant scheme. If you are purchasing or building your first home outside Victoria, please enquire at the Revenue Office of the State or Territory where the home is located.

7. Who is required to be an applicant?

All persons who are or will be owners of the home being purchased or built are required to be applicants. An owner of a home is a person who holds or will hold a relevant interest in the land on which the home is situated or being built.

Most commonly, you will hold a relevant interest in a property if you are registered on title as the owner or hold an interest as purchaser under a terms contract. It does not include the interest of either a trustee or a beneficiary under a trust (apart from a beneficiary under a legal disability).

8. Spouse/Partner details

A person is a spouse of another if they are legally married to each other. A person is a partner of another if they are in a domestic relationship regardless of gender.

Whether or not your spouse/partner is an applicant, his or her details must be included on the application form and considered when answering the eligibility questions.

9. How and where do you apply for the grant?

The completed application form and supporting documents should be lodged with an approved agent at the time of applying for finance or with us after settlement or completion of construction.

10. Supporting evidence

Proof of identity documents

If lodging with an approved agent

Each applicant and their spouse/partner must provide a Category 1 document.

The 100 point check conducted by the approved agent will meet the remaining Proof of Identity categories.

If lodging with us

Each applicant and their spouse/partner must provide a document from each of the four categories (i.e. four documents per person). A single document cannot be used for more than one category. Preferred documents are shown below.

If you are unable to provide the preferred documents, please contact us to discuss your circumstances.

Category 1

Primary identity document and evidence of citizenship or permanent residency (provide one document)

If an Australian citizen:

• Australian birth certificate issued by Registry of Births, Deaths and Marriages
• Australian passport
• Citizenship certificate

If a citizen of another country:

• Current passport
• Evidence of permanent residency or permanent residence visa

If a New Zealand citizen:

• Current passport

NOTE: New Zealand citizens must be living in Australia upon completion of the eligible transaction

NOTE: At least one applicant must be an Australian citizen or permanant resident at the date of settlement or completion of construction

Category 2*

Linkage between identity and person (photo and signature) (provide one document):

• Australian drivers licence (current)
• Passport (current)
• Firearms licence (current)
• Proof of age issued by Consumer Affairs (photo ID card)

Category 3*

Evidence that each applicant and their spouse/partner reside in Australia (provide one document):

• Medicare card
• Motor vehicle registration
• Centrelink or Department of Veterans Affairs card

Category 4*

Evidence of each applicant and their spouse/partner’s residential address (provide one document):

• Utility documents of residential address (e.g. bills for electricity, gas, water etc.)
• Insurance policy with current residential address
• Rates notice
• Mortgage papers
• Electoral enrolment card
• Lease or tenancy agreement
• Work notice/reports/reference
• Taxation notice of assessment

Additional supporting evidence is required if any of the following applies to you:

If you are:

• Married – a certified copy of your marriage certificate
• Divorced – a certified copy of your divorce certificate
• Widowed – a certified copy of the death certificate of your spouse/partner, or
• Separated – a statutory declaration with the following information:
  • the name of your former spouse/partner
  • former spouse/partner’s date of birth
  • the date you were married or commenced your domestic relationship
  • the date you separated
  • your former spouse/partner’s current address (if known), and
  • a statement to the effect that you do not live together and have no intention of resuming cohabitation.

NOTE: Evidence of change of name is required if the name on any of the documents presented is different to the name of the applicant (e.g. change of name certificate, statutory declaration)

* Not required if application is lodged through an approved agent.

Please provide evidence which relates to the type of transaction you have entered into:

A - Contract to purchase a new, established or off the plan home

• A certified copy of the exchanged contract of sale, dated and signed by all parties.
• A photocopy of the transfer of land form signed by all parties showing date duty paid or, where the grant is to be offset against the duty payable, the original fully executed transfer of land form*.

Purchasing from a related or associated party*

• A photocopy of the stamped transfer of land form with the Land Registry Victoria registration number.
• Evidence that the consideration has been paid by the applicant (e.g. provide certified copies of bank statements of both the vendor and applicant showing the payment [withdrawal and deposit of purchase money] at settlement and any loan agreement).

Purchasing from a deceased estate (related)#

Where you are related to the deceased person or are a beneficiary under the Will of the deceased person provide the following:

• A certified copy of the Will and Grant of Probate
• A certified copy of settlement statement for the estate
• Evidence of payment of consideration to the estate, and
• A photocopy of the stamped transfer of land form with the Land Registry Victoria registration number.

Purchasing from a deceased estate (not related)

• Where you are not related to the deceased person and are not a beneficiary under the Will of the deceased person, provide a statutory declaration confirming these details.

Nominee purchaser where you are a related or associated party to the named purchaser in the contract*

• Evidence that the consideration has been paid by the applicant (e.g. provide certified copies of mortgage, loan agreement, bank cheques and bank statements).

* Not required if application is lodged through an approved agent
# Application must be lodged with the SRO

Further supporting evidence is required for the following:

B - Contract to build a home

A certified copy of the:

• Contract to build dated and signed by all parties
• Title search showing the applicant(s) as the registered proprietor(s)*
• Certificate of Occupancy*.

C - Owner builder

A certified copy of the:

• Evidence of the date for laying of the foundations (e.g. receipt(s), notice of inspection)
• Certificate of Occupancy
• Title search showing the applicant(s) as the registered proprietor(s)*
• Documentary evidence of building costs incurred for the construction of the home*.
  
  The evidence submitted must total an amount equal to or greater than the grant and must not include your own labour costs.

NOTE: Additional documents may be requested after lodgement of application in order to confirm eligibility for the grant.

* Not required if application is lodged through an approved agent.

Please note: Only send certified copies of documents. Do not send original documents.

11. When will the grant be paid?

The date the grant is paid depends on whether you are building or buying. It also depends on whether you are applying through an approved agent or the SRO. The following table details the various scenarios.

Payment of the grant is subject to the written approval being made by the Commissioner.

Your application will be returned to you if not fully completed and the required supporting evidence is not attached.

12. Can a decision be appealed? 

If you are dissatisfied with the Commissioner’s decision on your application, you may lodge a written objection with the Commissioner. Your objection  must be lodged with the Commissioner within 60 days of the date of the notice advising that your application has been denied. Your objection must state fully and in detail, the grounds of your objection.

If your objection is disallowed by the Commissioner, you may, within 60 days, request that the matter be referred to the Victorian Civil and Administrative Tribunal.

13. Penalties

The SRO, as part of its role in administering the First Home Owner Grant Act 2000, conducts ongoing investigations to ensure that applicants comply with the conditions of the Act. If applicants receive the grant when they are not entitled, or do not comply with the residency requirement, penalties and interest may be imposed. The amount of any penalty which may apply is dependant on the circumstances of each case and is in addition to having to repay the grant. In some circumstances the penalty applied is equal to the amount of the grant received.

14. Making a false or misleading statement

It is an offence for a person to make a false or misleading statement in or in connection with an application for a grant. If it is determined that a person has made such a statement, then they may be prosecuted. All applications undergo a rigorous review where applicants are checked for former home ownership in Victoria and interstate. Other checks into spouse/partner status, council records, title details and fi nance particulars are undertaken on a routine basis.

15. Confidentiality And Privacy 

All information provided to the SRO is subject to the SRO Privacy Statement.

16. Other Concessions

In addition to the grant, you may also be entitled to the first home owner with family or pensioner duty concession. If you entered into a contract on or after 1 January 2007, a duty concession for a principal place of residence  may also be available to you. Different sets of eligibility criteria apply for these concessions.

However, if you are entitled to the bonus and the first home owner with family or pensioner duty concession, you must choose between the bonus and the relevant duty concession. If you are entitled to the bonus and the duty concession for a principal place of residence, you are entitled to both if you entered into a contract on or after 6 May 2008. If the date of your contract was before 6 May 2008, you must choose between the bonus and the duty concession.

However, if you are entitled to the First Home Bonus (the bonus) and one of the above concessions, you must choose between the bonus and the relevant concession. Whether the bonus is worth more to you than the first home owner with family or pensioner duty concessions depends on the value of your property. As the maximum amount of the principal place of residence concession is $2850, the bonus will always be more generous in comparison.

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