The First Home Owner Grant Scheme is an initiative of the Federal Government. The scheme provides eligible applicants with a tax free $7,000 grant at settlement (joint applicants are restricted to a single application i.e. one payment), and is available to first home buyers regardless of their income, the area in which they are buying (as long as it is in NSW), or the value of their first home. The grant is not available for renovations or for the purchase of vacant land where no future construction is planned. In addition to the Federal Government grant, under the First Home Plus Scheme, the NSW State Government will waive stamp duty payable on both the transfer of land and the mortgage for first home buyers. For purchases in NSW, eligible applicants will pay no stamp duty for purchases of $500,000 or below, and a reduced rate up to purchases of $600,000.