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zaph

Victoria doubles FHOG for regional new builds

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The state government will double the first home owners grant for regional Victoria in a bid to draw more young buyers into the regions and counter the capital's housing affordability crisis.

First home buyers building new homes in regional Victoria will be entitled to $20,000 as of July 1 this year, up from $10,000 for new homes valued up to $750,000.

http://www.theage.com.au/victoria/first-home-owners-in-regional-victoria-get-a-boost-from-state-government-20170302-gupix6.html

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3 hours ago, zaph said:

The state government will double the first home owners grant for regional Victoria in a bid to draw more young buyers into the regions and counter the capital's housing affordability crisis.

First home buyers building new homes in regional Victoria will be entitled to $20,000 as of July 1 this year, up from $10,000 for new homes valued up to $750,000.

http://www.theage.com.au/victoria/first-home-owners-in-regional-victoria-get-a-boost-from-state-government-20170302-gupix6.html

I'm not big on the idea of wasting tax payers money propping up house prices, especially in inflated areas like the main cities.

But in regional areas, it will hopefully help decentralisation away from cities. The state government needs to move its departments to regional areas and provide incentives for corporations to move there, to provide the employment for whoever wants to move to regional areas.

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But wait there's more...

 

Quote

 

At the same time, a Vacant Residential Property Tax will address the number of properties being left empty across inner and middle suburbs of Melbourne.

Under the changes, owners who unreasonably leave these properties vacant will instead be encouraged to make them available for either purchase or rent.

The Vacant Residential Property Tax will be levied at 1 per cent, multiplied by the capital improved value of the taxable property. For example, if the property has a capital improved value of $500,000, the amount paid will be $5,000.

 http://www.premier.vic.gov.au/stamp-duty-abolished-for-first-home-buyers-under-600000/

 

 

Almost impossible to enforce.

I'm sure all these measures are designed to make housing more affordable. But didn't anyone ask the work experience kid who did grade 9 economics? It's supply stupid!

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Unreasonably implies value based decision, 5K is a lawyer for a few hours. They could get away with enforcing it just for sh*ts and giggles, raise the coffers and all.

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I'm still not interested. To buy a modest 3BR unit in the suburb I live would probably cost a million dollars, so 15k saving on stamp duty isn't getting me excited.

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12 hours ago, zaph said:

Almost impossible to enforce.

I'd start by looking at water & energy usage. That certainly would highlight strong candidates who would then be required to explain why the dwelling is empty, especially if it is not their primary residence (as in foreign buyers).

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I'd start by looking at water & energy usage. That certainly would highlight strong candidates who would then be required to explain why the dwelling is empty, especially if it is not their primary residence (as in foreign buyers).

 

Ok not impossible. Just an administrative nightmare. 

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33 minutes ago, zaph said:

Ok not impossible. Just an administrative nightmare. 

I don't think so. If they can obtain info on water and/or energy as cobran mentioned then it wouldn't be too difficult. It may require some upfront capital but then it would be almost as easy as collecting rates.

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1 hour ago, Mr Medved said:

I don't think so. If they can obtain info on water and/or energy as cobran mentioned then it wouldn't be too difficult. It may require some upfront capital but then it would be almost as easy as collecting rates.

 

I disagree. Let's see how much this tax raises.

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4 hours ago, zaph said:

I disagree. Let's see how much this tax raises.

It depends how much they want to force the law. Monitoring water & energy usage is fairly simple. I believe the cops use electricity usage to look for cash crops being grown indoors.

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All irrelevant. To defend against the charge would cost more than the fine. Who would fight it? like an IP shakedown really if they wanted to.

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Another use case for data matching? :) Don't take an extended holiday.

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