First home buyers boost starts today WA Treasurer Troy Buswell, who announced this morning that the new First Home Owners grant increase would start today. THE boosted $10,000 First Home Buyer grant came into effect today after a snap backflip by the WA Government. Treasurer Troy Buswell had originally announced the grant increase would start next month - but copped some real estate industry flak after claims it was unfair to buyers who were waiting to sign their building contracts. As agents gathered at Crown Perth this morning for Australia's largest real estate conference - opened by Mr Buswell - a release was issued simultaneously from the minister's office announcing the grant push-through. The boost to the First Home Owner Grant - from $7,000 to $10,000 - is welcome news for first home buyers signing a contract to build or purchase a new home and owner-builders who commence laying foundations for the home who will now be eligible for the increased amount. First home buyers signing a contract to purchase an established home will be eligible for a $3000 grant. In his statement, Mr Buswell said the changes were part of the Liberal National Government's commitment to support first home buyers enter the market and would also increase housing stock in Western Australia. "These important changes not only reflect sound policy to increase our overall housing supply, but the decision will also help create jobs in the housing sector," Mr Buswell said. Increasing the grant for new homes will provide first home buyers with greater incentive to buy or build a new dwelling rather than purchase an established home. This will help alleviate the pressure placed on the existing housing stock by the States high population growth and drive jobs growth. Western Australia, South Australia and Tasmania are the only remaining States that still provide a grant to purchasers of established homes. The FHOG changes are part of the Liberal National Governments housing initiatives outlined in the 2013-14 State Budget. As the amount of the grant is specified in legislation, the changes were unable to commence until the First Home Owner Grant Act 2000 had been amended. "Following passage of these amendments by the Legislative Council last week, these amendments have now received Royal Assent," Mr Buswell said. Further information on the changes to the First Home Owner Grant, including the updated application form and lodgement guide, can be found on the Department of Finance website at www.finance.wa.gov.au It is estimated that each year around 800 first home buyers will switch from purchasing established homes to new homes in response to the changes. First home buyers will continue to be exempt from transfer duty on new and established home purchases up to $500,000 (or vacant land purchases up to $300,000), saving up to $17,765. In 2012-13, first home owners in WA saved $176 million on duty exemptions and concessions.