Hi @curiousnewbie,
Thank you for reaching out to us. The website advises - Once your savings have been released, you have up to 12 months (or other period allowed) from the date you requested the release of FHSS amounts to sign a contract to purchase or construct a home.
The contract you enter into has to be for a residential premises located in Australia. It cannot be any of the following types of property:
- any premises not capable of being occupied as a residence
- a houseboat
- a motor home
- vacant land (see note).
Note: If you purchase vacant land to build a home on, it is the contract to construct your home that must be entered into to meet the FHSS scheme requirements. The contract to construct that home must be entered into within 12 months (or other period allowed) from the date you requested a release. In this situation you must not have purchased the vacant land before applying for a FHSS determination.
You must genuinely intend to occupy the property as a home, and demonstrate this by:
- occupying or intending to occupy the property as soon as practicable after purchase
- occupying or intending to occupy the property for at least six of the first 12 months from when it is practicable to occupy it.
You are signing declarations and applications agreeing to the conditions set out under FHSS. ATO has compliance and integirty measures in relation to administering tax laws and may follow these up if required. Applications and declarations are based on self assessment, we would assume individuals completing these will act within the regulations required.
Hope this helps.
Regards,
Jodie2
