From the Premier of Victoria

MORE ASSISTANCE THAN EVER BEFORE FOR FIRST HOME BUYERS IN REGIONAL VICTORIA

Wednesday, 15 October 2008
People buying their first home in regional Victoria will receive more support than ever before because of a Brumby Government incentive to attract home buyers to regional areas and a new Rudd Government plan to assist new and first home buyers.
Premier, John Brumby, said the Federal Government’s announcement yesterday of $1.5 billion to assist new and first home buyers and existing Victorian Government assistance available, including a new $3,000 Regional First Home Bonus, meant that first home buyers purchasing a newly constructed home in regional areas would receive an unprecedented up to $29,000 in assistance.

“Our Government is taking action to grow Victoria’s regions and I am delighted that the Prime Minister yesterday announced that he would be providing extra support to first home buyers on top of our assistance,” Mr Brumby said.

“We were the first state to abolish stamp duty on mortgages, have slashed stamp duty and in this year’s State Budget we introduced the $3,000 Regional First Home Bonus which is making regional Victoria an even more attractive place to buy a first home.

“It now means that Victorians who buy a new home in regional areas including Bendigo, Ballarat, Geelong and Gippsland can receive up to $15,000 from the Victorian Government and now $14,000 from the Commonwealth – that’s up to $29,000 in assistance.”

The $3,000 Regional First Home Bonus is on top of the Victorian Government-funded $5,000 First Home Bonus for newly constructed homes and the $7,000 First Home Owners Grant.

“At last week’s Council of Australian Governments meeting in Perth I proposed to Prime Minister Kevin Rudd a plan to not only fast-track infrastructure spending but also to give some relief to new and first home buyers and stimulate the housing market,” Mr Brumby said.

“These proposals found support from the Federal Government and the States and Territories and I think yesterday’s package will give the Australian economy just that extra bit of growth and confidence that we're going to need in the slower world environment.

“What this means is that with the Federal Government’s new assistance, Victorians who enter into a newly constructed home contract from 14 October 2008 to 30 June 2009 will now get cash grants of up to $29,000 for regional areas.

“This is great news for both first new home buyers in regional Victoria and for the industry. Together with the Federal Government, our Government is taking action to support Victorian families in a tougher global environment.”

The State Revenue Office currently administers first home assistance and will ensure the federal payments are processed as soon as possible.