Get the most out of your first home owner grant
The First Home Owner Grant of $7,000 is a worthwhile sum of tax free money that is made available just when you need it the most, that is at the time of settlement, if you are buying an established home, or if you are building, at the time the first scheduled payment is due under the terms and conditions of the construction loan.
eChoice Home Loan Comparison Service
Your eChoice mortgage broker can help you get the most out of your first home owner grant, and make sure you are getting everything you are entitled to. Having negotiated the best deals with over 30 of the best lenders, you can feel assured you are getting the best home loan too.
- Your personal home loan manager matches you to a home loan based on your personal goals and needs.
- With more responsibility make sure your lifestyle is protected with life insurance and income protection insurance from eChoice.
- Interest Rate of 6.55%
- Comparison Rate of 6.55%
- Application Fee of $0
- Maximum LVR With LMI: 90%
- Minimum Borrowing: $0
- Maximum Borrowing: $0
Once you receive the grant you can use it how you wish, that is why it is important that you put it to good use where it will benefit you the most. We have listed here the most advantageous ways you can do this:
• First up you must make certain that you are getting all the benefits you are entitled to receive in the locality where the first home you are buying is located. A good way of doing this is to engage the services of a mortgage broker, not only for the purposes of making sure you are getting all your entitlements but also to help you choose the right home loan that is best suited to your particular needs, both now and into the future. A mortgage broker can give you advice that will prove invaluable to you in many ways. One of these will be how to put your first home owner grant to good use as it will not be just the first home owner grant to consider, but money saved off stamp duty costs as well as other grants offered by the various state and territory governments.
• Your first home owner grant will also be of more value to you if you make sure that the home loan you have finally settled on is the right home loan for your specific circumstances. If you choose the wrong mortgage and find that you will have to change home loans at a later date in order to obtain the features you want, you will not have the benefit of the first home owner grant the second time around. It is a once only payment and if wasted on a loan that is found to be not suitable, you will have effectually wasted the benefit that it was supposed to give you. Once again a mortgage broker is the best placed professional to make sure this doesn’t happen to you. Mortgage brokers are the experts in the home loan area and their knowledge of the industry can be put to good use by listening and acting on the advice they give you at this very important time in your life. A home loan with low interest rates may have costs and penalties that far outweigh the savings in interest or it might not have the features you are looking for such as the ability to pay additional amounts when you can afford to do so in an effort to pay your mortgage off sooner. Some mortgages even charge you a penalty if you wish to do just that. It is an area full of traps for the unwary so seeking the advice of a professional in the field, such as a mortgage broker you will be able to maximize any benefit you get from your first home owner grant.
• It can sometimes be of great benefit if you make your first home a home full of potential, a home in need of a little renovation. For instance it may have a bathroom that is outdated or a kitchen that belongs back in the 50s. You can often pick these homes up at a cheaper price than a similar home, in the same locality, which has already been brought up to date with today’s home buyers demands. If you make a successful purchase of such a property you will be able to carry out these renovations with the grant money you receive, along with any savings you might make on not having to pay full stamp duty costs.
• House prices have stabilized in most areas at the present time and it appears interest rates may not rise again throughout 2011. This scenario makes it an ideal time to purchase your first home. If you are a little short on putting together the full deposit, you might consider adding your first home owner grant money to make up the shortfall. Some lenders prefer it if all the money put up as a deposit come from actual savings, as it shows a certain financial discipline but if you are that close to making it and all that is required is the equivalent to your grant money, it will be money well spent.
• Some first home buyers use the money made available through the first home owner grant, and other grants that the different states and territories offer as supplementary assistance, to add a luxury item to their purchase. This can add value to the property right from the start especially if you are building your first home or buying a new one.
Related posts:
- 10 Essential Facts About The First Home Owner Grant
- First Home Owner Grant Overview (VIC)
- First Home Owner Grant – Lodgement Guide and Application Form (ACT)
- First Home Buyers Grant Tasmania (TAS)
- How to Apply for the First Home Owner Grant (WA)
- When Will I Get the First Home Owners Grant?
- Frequently Asked Questions: First Home Owner Grant
- Eligibility Criteria First Home Owner Grant (NT)
- First Home Owner Boost Information Sheet (NSW)
- First Home Buyer Grant Application
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