Answers to FAQ from First Home Buyers
How much deposit is required under a house or land contract?
The Contract Deposit is no more than 10% of the Purchase Price and can be negotiated to a lower amount.
The Contract Deposit is different to your Bank Deposit – but the Contract Deposit counts towards your Bank Deposit
How much stamp (transfer) duty will I pay as a first homeowner?
First Home – Established Home
Provided the property will be used as your principal place of residence and the purchase price nominated in the contract is less than $700,000 then no stamp duty is payable on the purchase.
Fist Home – Vacant Land
Provided that you build your first home on the land within 2 years of the settlement date of the land contract then no stamp duty is payable on the purchase.
From 1 May 2025, there is no threshold on the purchase price nominated in the contract to obtain the benefit of first home vacant land stamp duty concessional rate.
First Home – New Home
If you are purchasing a new home that hasn’t previously been occupied or sold as a residence and your intention is to live in the Property as your first home, then no stamp duty is payable on the purchase.
From 1 May 2025, there is no threshold on the purchase for first home new in the contract to obtain the benefit of first home vacant land stamp duty concessional rate.
Who arranges the building and pest inspections?
You, the buyer, arranges the building and pest inspections and, as the buyer, you can attend during these inspections (which is recommend) to discuss any concerns directly with your chosen inspector.
The inspector will issue a written report, generally 24 – 48 hours after attending the inspection, for review and consideration.
The sales agent or conveyancing solicitor does not arrange the building and pest inspection on your behalf but can provide you with recommendations and contacts.
Will I get my deposit back if I terminate the contract?
Generally, if you terminate the contract under: -
- Finance Condition; or
- Building and Pest Condition
then your deposit will be refunded to you in full.
Note however your ability to terminate the contract under the Building and Pest condition may be limited to structural defects or active termites in the property.
There may be other conditions included in the contract (e.g. special conditions) which also allow termination rights however the wording of those special conditions will determine whether your deposit is refunded or not.
Is the finance date the date I move into the property?
No – the finance date is the date you are required to have obtained unconditional finance from your chosen financier.
It is not the date you pay for the property or move into the property.
Am I required to attend settlement?
No - you are not required to attend settlement.
We will arrange settlement on your behalf.
Generally, settlement occurs on the settlement date between 2:00pm – 4:00pm.
Once we have notified you that settlement has occurred you can arrange collection of the keys from the sales agent and start moving into the property.