The Unsung First Home Buyer's Benefit



As a first-time home buyer, you stand to benefit from the First Home Owner Grant (FHOG) of $10,000. With the right home builder, you may also enjoy more financing perks and savings.

Is that all there is to it, though?

You may or may not have heard of the First Home Saver Accounts (FHSA), which is meant to complement the FHOG; however, if you think the FHSA is an additional option to finance your first home, you ought to know that this programme is already undergoing legislative changes and will soon be abolished.

The national budget for 2014-15 will see the FHSA abolished effective July 1, 2015. Government contributions have already ended as of July 1, 2014, and new accounts have been stripped of their privileges as of May 13, 2014. If you signed up for an FHSA prior to the news, it's most likely inactive right now.

You'll then need to go back to old-fashioned saving methods, like setting aside 10 percent of your pay check, taking care of your debts, and adhering to a strict monthly budget. Getting a part-time job is also a good way to earn extra income.

As to whether or not the government will come up with a replacement program for the FHSA, only time can tell. For now, the FHOG remains the strongest ally of a first-time home buyer who wants a home built from the ground up.

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