NSW Cracks Down on Abuse of First-Home Buyer Benefits
NSW Cracks Down on Abuse of First-Home Buyer Benefits
3
The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.
More than $9 million has been reclaimed in a concerted effort by Revenue NSW to ensure the first-home buyers program remains fair and effective.
This initiative comes in response to a small group of applicants attempting to exploit the system meant to aid genuine first-time homebuyers.
Through focused investigations, the compliance team at Revenue NSW identified and recovered $9.44 million that had been misappropriated by non-compliant applicants. These investigations were carried out with precision, targeting those who attempted to circumvent the laws of the first-home buyers program.
In the inaugural year of the expanded program, 33,365 first-time buyers either completely evaded stamp duty or received a discounted rate. With current thresholds, first-home purchases under $1 million qualify for these benefits, easing the financial burden for new homeowners.
The rules of the program stipulate that first-home buyers must occupy their new property within a year and maintain continuous residence for at least twelve months. This requirement saw 718 investigations initiated in the 2023/24 period, leading to 422 individuals having their stamp duty relief revoked or reduced. These 422 cases account for less than 1.3% of all successful applications.
Selection for investigation is far from random, relying on a sophisticated data-matching system that flags potential non-compliance. Data sources include the NSW Government Rental Bonds Board and federal institutions like the Department of Home Affairs and the Australian Taxation Office.
In some instances, tenant referrals trigger investigations. For example, suspicions may arise when tenants are asked to keep utility accounts in the owner's name. Such red flags prompt further scrutiny by the compliance team.
Revenue NSW’s compliance team comprises experts with decades of investigative experience from both public and private sectors. Their collaborative expertise ensures the first-home buyers program is correctly targeted to provide much-needed financial relief, while maintaining rigorous compliance checks.
This initiative reflects the shift under the Minns Labor Government, replacing the old Liberal-National Government policies with a more focused and larger threshold, benefiting over 18,000 new homebuyers who might have otherwise missed out under the previous scheme.
Minister for Finance Courtney Houssos emphasizes the importance of supporting new homeowners amid current economic challenges. "At a time of a cost-of-living crisis, the Minns Labor Government is committed to providing real relief to first-home buyers. This program is clearly working, helping more than 30,000 people into their first homes. Revenue NSW’s compliance team is ensuring that only those eligible for the scheme are able to use it."
Furthermore, Chief Commissioner of State Revenue Scott Johnston lauds their efforts, stating, "We’re very proud of our compliance team and the excellent work they do. Revenue NSW’s compliance programs are essential to maintaining the integrity of our programs. Our team works tirelessly to make sure the first-home buyers program is accessible to everyone who needs it, and that people who aren’t eligible don’t try to game the system."
In a significant move to promote sustainable transportation, the Australian government has introduced a new loan scheme offering low-interest financing for electric vehicles (EVs). This initiative targets Australians earning less than $100,000 annually, as well as essential workers such as police officers, teachers, firefighters, and nurses, regardless of their income level. - read more
Recent data indicates a sharp increase in car repossessions across Australia, signaling escalating financial distress among households. Automotive auction house Pickles has reported a 13% rise in repossessed vehicles over the past six months, with an 11% increase in the last quarter alone. - read more
The Australian Automotive Dealer Association (AADA) has released its December 2025 Automotive Insight Report (AIR), revealing a notable downturn in the used car market. After a period of oversupply, the market experienced a 3.8% reduction in listings, bringing the total to 322,532 vehicles. Despite this decrease in supply, sales figures declined more sharply by 8.1%, totaling 181,724 units for the month. - read more
The Reserve Bank of Australia (RBA) has decided to keep the cash rate steady at 3.60% during its final policy meeting of 2025. This decision comes amid rising inflation, which reached 3.8% in October, surpassing the RBA's target range of 2-3%. The central bank has indicated that if inflationary pressures persist, future rate hikes may be necessary. - read more
The Australian Securities and Investments Commission (ASIC) has conducted a comprehensive review of the motor vehicle finance sector, uncovering significant issues that raise concerns about responsible lending practices. The findings indicate that some consumers are being subjected to exorbitant fees and are defaulting on their loans shortly after approval. - read more
Car loan refinancing involves replacing an existing car loan with a new one, usually to lower the interest rate, reduce monthly payments, or modify the loan term. In Australia's fluctuating economic landscape, refinancing can be a strategic financial decision for borrowers looking to adjust their finances to more favorable terms. - read more
With the excitement of purchasing a new vehicle, the financial responsibilities that come with a new car loan can often be overlooked. Balancing your budget when you have taken on a new car loan is crucial to financial well-being and long-term happiness with your purchase. In this article, we will explore five practical strategies that can help you navigate the common financial challenges that accompany car loans. - read more
When it comes to owning a car in Australia, many of us view it as a symbol of freedom, an essential convenience, or even a reflection of our personal style. Yet, for all the road trips planned and errands run, the cost of owning a car extends well beyond the sticker price. - read more
Finding an affordable car finance option can make the dream of owning a vehicle a tangible reality for many Australians. It’s about understanding the intricacies of the loan market, interest rates, and finding a plan that aligns with your financial prospects and constraints. In a society built on the convenience of mobility, securing a car that meets both your needs and your budget is essential. - read more
Stepping into the world of auto financing can be as daunting as it is exciting. The commitment of a new car loan demands more than just desiring your dream car; it necessitates a balanced budget and a solid financial plan. Understanding how to prepare before signing on that dotted line is not only wise, it’s imperative for your financial health. - read more
Need Help Finding a Loan?
Get a free car loan eligibility assessment and compare offers tailored
specifically to your circumstances.
All finance quotes are provided free (via our secure server) and without
obligation. We respect your
privacy.
Knowledgebase
Bull Market: A market condition where the prices of securities are rising, or are expected to rise.
