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This page gives information about the residence requirement for the first home owner grant.

Residence requirement

Important:

All applicants must reside in the home as their principal place of residence for a continuous period of at least 6 months commencing within 12 months after completion of the eligible transaction Link to definition.

It is your responsibility to meet the residence requirement. You may be required to prove this by providing supporting evidence of your period of occupancy (for example, utility accounts, bank statements, landline and/or mobile phone accounts and household contents insurance policies).

If you are unable to meet your residence requirement because of a change in circumstances, you must tell us in writing within 14 days of the change. Penalties may apply if you receive the First Home Owner Grant and are not eligible for it.

If an applicant fails to notify RevenueSA that the residence requirement has not been met, penalties may be imposed. The amount of any penalty which may apply is dependent on the circumstances of each case and is in addition to paying back the grant.

Find out more about interest and penalty tax.

Principal place of residence

Your principal place of residence is the home you primarily live in, with your personal belongings, on an ongoing or permanent basis. It is where you cook, eat, sleep and conduct most other activities of daily living and has the characteristics of permanency.

You will not be eligible for the first home owner grant if you live in the property on a temporary basis or only periodically or for some other purpose, such as preparing a home for sale or rent.

Timeframes for residing in the property

All applicants must occupy the home as their principal place of residence for a continuous period of at least 6 months commencing within:

A contract for the purchase of a new home12 months from date of settlement
A contract for the purchase of an off-the-plan apartment12 months from date of settlement
A substantially renovated home12 months from date of settlement
A comprehensive building contract or contract to build a home12 months after the home becomes ready for occupation.  
A home built by an owner builder12 months after the home becomes ready for occupation.

A home is considered ready for occupation on completion of construction.

Exemptions to the residence requirement

In some circumstances you may be able to apply for an exemption to the residence requirement.

The Commissioner of State Taxation has the discretion to exempt one or more applicants from the residence requirement if satisfied there are good reasons for doing so. Applications for an exemption are considered on a case-by-case basis and only in cases of exceptional circumstances.

Applications for a residence requirement exemption should be made in writing to fhog.support@sa.gov.au.

Australian Defence Force personnel

The nature of employment for members of the Australian Defence Force means that they may be unable to satisfy the residence requirement for the first home owner grant.

To apply for an exemption to the residence requirement, you will need to demonstrate that, at the date of the relevant contract, you were:

  • a Member of the Permanent Forces of the Australian Defence Force, within the meaning of the Defence Act 1903 (Cwlth)
  • enrolled to vote in South Australian elections.

All other applicants who are not a member of the Australian Defence Force must also be enrolled to vote in South Australian elections at the date of the relevant contract.

Exemptions will not be granted to reservists in the Australian Army, Air Force or Navy or to Australian Public Service staff.

Other applicants

If there are multiple applicants for the first home owner grant, an applicant may apply for a residence requirement exemption in cases of exceptional circumstances. In this situation, at least one applicant must meet the residence requirement to remain eligible for the grant.

If you are the sole applicant for the first home owner grant you may apply for a residence requirement exemption in cases of exceptional circumstances.

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Renting out or selling the property

You can rent out the property before you move in as long as all applicants occupy the property as their principal place of residence for 6 continuous months within the correct timeframe.

You may also rent out a room (or other portion of the home) while you complete your 6 months of occupation.

After the residence requirement has been met, there are no restrictions on the use or sale of the property relating to the first home owner grant.

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