The first home owners grant has peaked at $21,000 for new properties as part of the government’s first stimulus package in October last year. Next year it will be returning to its original $7,000, starting after September 30 it will be reduced to $10,500 for established homes and $14,000 for new homes until December 31.
The Australian Property Institute's NSW president, Robert Hecek, said the grant had given a positive boost to Sydney’s property market but its effect might diminish when it started to be scaled back.
"The stimulus provided by the commonwealth has been a real boost to the Sydney market, particularly in the sub-$500,000 price range," Mr Hecek told reporters on Wednesday.
The biggest impact is expected on residential properties valued under $500,000.
Were you planing to buy you first home some time next year, or someone you know?
How do you believe this will effect the descion, please tell us what you think below.
