Browse Forums Building A New House 1 Apr 20, 2009 2:55 pm I have already bought land so have an existing loan with the bank. So I am now confused as to who deals with the application of the FHOG to when we progress with building (taking out another loan to build) The bank manager wasn't 100% sure.. It's quite important for me to know the exact process as in NSW if I apply directly for the grant it wont be paid till proof of completion.. Where as if the "agent" being the bank, applies then it's paid when the first progress payments are triggered. Can anyone verify the process for someone who has an existing land loan? Payment on completion sucks.. Re: FHOG - When and how did yours get paid 2Apr 20, 2009 3:05 pm Hello andrew78m, i can tell you that being paid on completion does suck!! my partner & i are currently building & the bank won't release ours until we move in!! it is making it very hard to get started!! but i don have friends who were able to get it on first payment.. our was something about having a mortgage insured loan - which i think is baloni, because everyone has a mortgage insured loan... hope you don't have to wait until completion like i do!! Building with Simonds Homes in South Western Victoria - started building 20th Jan 2009, in final stage now.. 4 weeks estimated until settlement..... VERY EXCITED!! Re: FHOG - When and how did yours get paid 3Apr 20, 2009 3:19 pm Hi, We bought our land a couple of years ago and started construction about a month ago. Our bank (for construction loan) is organising all the paperwork for our FHOG which we will be applying for after the 1st progress payment is made. We were told it will paid as soon as they process the application. Re: FHOG - When and how did yours get paid 4Apr 20, 2009 3:32 pm I was advised by our Mortage Broker to apply through a solictor as soon as we make our 1st progress payment, to ensure prompt payment of the grant to us. If you feel your bank may hold of payment until completion, then I suggest applying through a solicitor too. Re: FHOG - When and how did yours get paid 5Apr 20, 2009 3:33 pm Our bank was very nice to us. All we had to do was write a letter to our bank expressing that the FHOG is surplus funds. Money was in our bank a few days later. We didnt want the money to come off on the first payment as we wanted the money in cash for finishings etc. Its a bit worrying that your bank manager wasnt sure about this. Our mortgage broker had absolutely no idea but then again every bank has different ways of doing things. I directly called the mortgage area of my bank to get a more direct answer. Good luck hope your bank can answer this question for you soon Building our first home in Brisbane. Windows installed wed 1 April. Bricking started Thurs 9 April Re: FHOG - When and how did yours get paid 8Apr 20, 2009 5:10 pm bvella our mortgage broker advised us that the the FHOG will be made to the builder as part of the first progress payment. We are with Westpac and have taken out a construction loan with them Doesn't that mean that you're paying interest on money that isn't even the banks? I hope that they are only charging interest on the part they are actually lending. Re: FHOG - When and how did yours get paid 9Apr 20, 2009 6:08 pm Our loan is with Westpac. Our first statement shows the initial drawing of the loan which was the balance remaining on our land loan, then it shows a credit of $26k being the FHOG on the same day as they paid out our slab payment. So the money is actually on our account - once all the payments are made to our builders any additional funds remaining up to our loan amount will be credited to our account. Re: FHOG - When and how did yours get paid 10Apr 20, 2009 6:55 pm Equinox I was advised by our Mortage Broker to apply through a solictor as soon as we make our 1st progress payment, to ensure prompt payment of the grant to us. If you feel your bank may hold of payment until completion, then I suggest applying through a solicitor too. That is wrong and is the slower method of receiving the FHOG. You can read these threads on the issues surrounding FHOG payments http://forum.homeone.com.au/viewtopic.php?f=31&t=12951&start=0&hilit=grant+payment and http://forum.homeone.com.au/viewtopic.php?f=1&t=10268&start=0&hilit=grant+payment Your selection of banks should make no difference either. Re: FHOG - When and how did yours get paid 11Apr 20, 2009 9:45 pm Hi, remember it is the government who is paying you, not the bank, so it shouldn't matter which bank you are going with. You should receive your payment when your slab is laid. Thats how it works in NSW and im pretty sure its the same as the other states too. If your bank has told you otherwise i strongly suggest looking into it. west sydney mortgage broker for first home buyers 12Apr 21, 2009 12:20 am Good point jake84. The First Home Owners Grant (FHOG) was introduced on 1st July 2000 to offset the effect of the GST on home ownership, established by a inter government agreement between all States and Territories and the Federal Government. As the grant is administered by the Revenue Office in each State or Territory, they have uniform rules across the country. Although I am a local Sydney mortgage broker, I have come across FHOG application forms from other states as well as assisting first home buyers from other states and I can say the content of FHOG forms are identical. To help the OP with a valid answer, I have linked below one of our earlier threads on the timing of FHOG payment when your lender acts as the agent of your state government. Land & Construction Settlement at the same time + FHOG http://forum.homeone.com.au/viewtopic.php?f=9&t=13552 No the fireplace doesn’t work. It’s been enclosed. I’m not sure what was removed, as it was done quite some time ago - well before what I can see with photos online… 2 11629 Staircases and sausages. Should thou wish to keep thy palate sweet for sausages, avert thine eyes from their crafting. 14 4639 Depends how much direct sun it gets. Is there any shading (eaves or trees)? If the sun hits a window directly it doesn't matter too much if it's double or single… 1 12689 |