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Transferring funds to and from Australia

Questions around the First Home Owners grant for expats and overseas clients buying a property in Australia.

In October 2008 the Australian Government announced a boost to the First Home Owners Grant. For properties purchased before 1 July 2009, the federal government will pay $14,000. For newly build properties the grant is $21,000. Combined with the various incentives offered by the state governments, the first home owners grant gives property buyers an unprecedented financial assistance. There have been many questions whether the overseas property buyers can qualify for the grant. Below we answered the most common ones:

I am an Aussie expat buying a property back home with a view to move in at a later date. Can I receive the grant?
Australian expats may qualify for the grant if they move into the property within 12 months of settlement and stay there continuously for at least 6 months. When the property is purchased in joint names, then either of the partners has to occupy it. This scenario works quite well for expat families who permanently live overseas but can satisfy the grant requirements by temporarily relocating either partner back to Australia for a period of 6 months or more. It is quite important to point out that the grant will not be available at settlement. It can only be applied for once the property is occupied by the owner. If you do not plan to move into your property within 12 months, then you can still qualify for the grant later on, see how it will work below.

I am a new arrival to Australia and wish to buy my first property here. Will I qualify for the grant?
For new arrivals to Australia the grant will be available given that they hold Australian permanent residency. It is quite common for the migrants to purchase a property before they make the move. In that case, the application for the grant can be made once they arrive to Australia and occupy their newly purchased home.

If I buy an investment property now, will I still be able to apply for the grant when I purchase my principal place of residence in Australia?
The answer is yes. You can still qualify for the grant. If you buy a property to rent it out now, that will not make you ineligible for the grant later on. In fact, if you already own a property in Australia, but did not own one before 1 July 2000 and never lived in that property, then you can apply for the grant when you purchase your principal place of residence in Australia.

Recent Testimonials

Thanks for the follow up and sticking there with us, it was much appreciated in trying times. Everything looks fine, the LoC is in credit for $100K, and we have received a part credit on the Investment Home Loan interest. Well done and thanks again.
John and Carol, Sydney (February 2009)

Hi Anastassia and Anton,
Lucy and I are very excited about the settlement of the house and We would like to say a huge thank you for all of your help and support through this process.Kind regards.
Matt & Lucy, Katherine, NT, March 2009

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