Can I rent out my spare rooms if I apply for both FHOG and Home Buyers Assistance Account
by Simon
(Perth, Western Australia, Australia)
Hi,
I have bought a house and had sucessfully applied for both the FHOG and Home Buyers Assistance Account. There are currently 3 vacant spare rooms and I intend to rent them out. The persons renting the room would not be related to me. Am I able to do that?
Comments for
Can I rent out my spare rooms if I apply for both FHOG and Home Buyers Assistance Account
This was a good question, as I was not aware of the Home Buyers Assistance Account and the rules about them. I'm going to add a page to this site with more information about the Home Buyers Assistance Account, so more people can find out about it, so thank you!
As I've explained elsewhere in this site, under the First Home Owners Grant, you certainly can rent to lodgers/flatmates.
Doing a little research shows me that you are eligible for Western Australia's Home Buyers Assistance Account if you haven't owned a property before, if the property is under $400,000, is complete or at least partially built (not planned or vacant land), and if you live in it for the full first twelve months of ownership.
There is nothing to stop you from renting the other three rooms out to other people who are not considered your spouse or defacto partner.
Just remember that you cannot rent out the whole of the house (and not live in it yourself) for twelve months after you buy it.
Good for you for thinking laterally and getting onto the property ladder!
I suggest you try to use all the extra rent you're getting from your lodgers to bring down the principal on your home loan faster, especially if you can afford all of the mortgage repayments yourself.
