What is the First Home Bonus?
How much is the First Home Bonus?
Who is eligible for the First Home Bonus?
How do I claim the First Home Bonus?
Where can I find out more information?
Pensioner exemption/concession or the First Home Bonus?
First home buyer exemption/concession or First Home Bonus?
Principal place of residence concession or the First Home Bonus?

What is the First Home Bonus?

From 1 May 2004, all eligible first home buyers who qualify for the $7000 First Home Owner Grant may also be eligible for an additional payment.  This additional payment is called the First Home Bonus. To be eligible to receive the Bonus payment, the value of the property must not exceed $500,000.

Both the First Home Owner Grant and the First Home Bonus are fully funded by the Victorian Government and are administered by us.

How much is the First Home Bonus?

The Victorian Government’s election commitments for the 2006 State election extended the current First Home Bonus of $3000 until 30 June 2009 for established homes, and increased the First Home Bonus to $5000 where the property is a new home and the eligible transaction is entered into on or after 1 January 2007 and before 1 July 2009.

The $5000 First Home Bonus is available for transactions such contracts to build, off-the-plan purchases, owner-builders and home which are considered to be new residential premises for GST purposes. A ‘new residential premises’ has the same meaning as that in section 40-75 of the A New Tax System (Goods and Services Tax) Act 1999 (Cth).

The following table gives a summary of the applicable amount of the First Home Bonus depending on the date the contract of sale was entered into.

Who is eligible for the First Home Bonus?

The First Home Bonus is available to individuals (are at least 18 years of age) who entered into a contract to purchase or build a home (or build a home as an owner-builder), between 1 May 2004 and 30 June 2009.

First Home Bonus applicants must meet the same eligibility criteria as those for the First Home Owner Grant.

How do I claim the First Home Bonus?

Eligibility for the First Home Bonus payment is automatically assessed when we consider an application for the First Home Owner Grant. 

Where can I find out more information?

You may download the following documents for more information:

First Home Owner Grant General Information
First Home Owner Grant application form

The above documents are also available from approved financial institutions and our counter.

Pensioner exemption/concession and the First Home Bonus

If you are eligible for the pensioner exemption or concession and the First Home Bonus, you have the choice of receiving one or the other, but not both. Depending on the value of your home, the pensioner exemption/concession may be worth more than the First Home Bonus, or vice versa.

To help you make the choice, find out which option is worth more to you.

First home buyer exemption/concession and the First Home Bonus

If you entered into a contract on or after 1 January 2006 and before 1 July 2009, you may be eligible for the first home buyer exemption or concession and the First Home Bonus. Under these circumstances, you have the choice receiving one or the other, but not both. Depending on the value of your home, the pensioner exemption/concession may be worth more than the First Home Bonus, or vice versa.

To help you make the choice, find out which option is worth more to you.

Principal place of residence concession and the First Home Bonus

If you entered into a contract on or after 1 January 2007 and before 1 July 2009, you may be eligible for the duty concession for a principal place of residence (PPR concession) and the First Home Bonus. Under these circumstances, you have a choice of receiving one or the other, but not both.

The First Home Bonus is worth more than the maximum PPR concession (which is $2850). Therefore, the First Home Bonus would be a more advantageous choice over the PRR concession.