It’s quite surprising how few first home buyers in Western Australia know about he “First Home Buyers Assistance Account” (FBAA). A state government scheme administered by the Real Estate and Business Agents Supervisory Board, the FBAA grant is available to first home buyers who purchase an established property or partially built home.

The grant of up to $2,000 is to assist purchasers with fees associated with buying their first home, but as the grant is applied for after settlement the purchaser must have the required funds to complete settlement upfront, that is, the proceeds from the grant may not be relied on to complete the transaction. The fees that are potentially rebated via the grant include, settlement agent fees, loan establishment fees and mortgage registration fees.

The conditions that need to be met to qualify include the following-

1. You must purchase the home from a licensed real estate agent;
2. The purchase price must be $400,000 or less;
3. You must live in the house for a minimum of 12 months;
4. Your home loan is financed through an authorised lending institution such as a bank, building society or credit union;
5. Your application for the First Home Buyers Assistance Account is lodged within 90 days after the date in which your offer to purchase the property was accepted; and
6. Applicants must be buying their first home, which is established or partially built (not vacant land, off the plan apartment or a house and land package).

Your mortgage broker will be able to confirm if you qualify for the grant and then assist you in completing the application, which is quite straightforward. Along with a fully completed application witnessed by an authorised party, the only other requirements to accompany the submission are a copy of the fully executed Contract of Sale and conveyancer’s settlement statement.

The application is sent to your lender first as they are required to complete and verify a section of the application breaking down the costs associated with finance and from there it’s forwarded it on to the office of the FBAA to review. The grant is generally paid to your home loan around eight weeks after the settlement of your property.