FHSS - Renting Out A Room While Occupying The Property In The First 6 Months

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 · Accepted Answer

JodieR_ATO · Answer

If you're using the FHSS scheme to help buy your first home, you must genuinely intend to occupy the property as a home, and demonstrate this (https://www.ato.gov.au/individuals/super/withdrawing-and-using-your-super/first-home-super-saver-scheme/#Afteryoursavingshavebeenreleased2) by: - occupying or intending to occupy the property as soon as practicable after purchase, and - occupying or intending to occupy the property for at least six of the first 12 months from when it is practicable to occupy it. So long as you meet the above FHSS requirements, renting out spare rooms will not make you ineligible for the FHSS scheme. Bear in mind if you do rent out part of your home, you would need to consider other issues such as declaring the rental income in your tax return, what expenses could be claimed and related capital gains tax outcomes. You may wish to obtain financial advice to better understand these matters.

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