The state government has announced a major new policy to help first homeowners build or buy new homes.
The state government has announced major changes to stamp duty concessions and the First Home Owners Grant scheme.
Stamp duty will be abolished for all first home buyers who build or buy new homes in South Australia – and the first homeowners grant eligibility will be expanded.
Ahead of this week’s state budget, Premier Peter Malinauskas announced that eligibility for stamp duty exemptions and the grant will no longer depend on the value of the property.
Previously, the concessions had only applied for properties with a value of up to $650,000.
From this week, they will be available to all first home owners who buy a new home, off-the-plan, a house and land package or vacant land to build on.
“Starting on Thursday, when that budget is handed down, there will no longer be a dollar of stamp duty for any new build for any new homebuyer in South Australia,” Mr Malinauskas said on Tuesday.
“This is one of the biggest shake-ups and tax reductions that we’ve seen when it comes to the cost of building and land in our state in its history.
“And we’re able to do it because we’ve been thinking hard about the investments that we make as a government and prudent budget management.”
Mr Malinauskas said the announcement went “one better” on Labor’s pledge to introduce no new taxes.
“(This) has a very specific objective – and that is to see more new homes being built,” he said.
“The only serious way that you address a housing crisis is to increase housing supply.”
Master Builders SA chief executive Will Frogley said the announcements will save eligible buyers $50,000 on a $750,000 property.
“That’s a heck of a lot of money for anyone, but especially a first homebuyer,” he said.
He said the policy was “a huge win” and “something that we’ve dreamed of for a long time”.
“Make no mistake, this is a great day for any South Australian who dreams of building their own home,” he said.
“It’s also a great day for builders, suppliers, tradies, apprentices and the more than 80,000 South Australians who are employed in our industry.”
Opposition Leader David Speirs said the Liberals had been calling for the current threshold for stamp duty relief to be lifted.
“Today’s announcement is an acknowledgement that the current scheme has been a spectacular failure as the eligibility criteria is far too restrictive,” he said.
Article sourced from The Advertiser
The Reserve Bank of Australia (RBA) has again kept the cash rate on hold this month, rounding out a year of no cash rate movement. While many of us were hoping for a cash rate cut this year, factors including high inflation and low productivity have led the RBA to … Read more
Cheaper properties saw the strongest price growth over the past 12 months with houses in the lowest percentile increasing by 12.2 per cent. In comparison, our most expensive homes have seen a price slowdown, perhaps now reflecting the prolonged impact of higher interest rates. Long term, Australia’s most expensive homes … Read more