What happens to PTT for first-time homebuyers buying a principal residence?

For first-time homebuyers purchasing a principal residence, the correct outcome is that they are completely exempt from paying the Property Transfer Tax (PTT) if the Fair Market Value (FMV) of the property is under $500,000. This exemption is designed to assist new homeowners in getting onto the property ladder by easing the financial burden of additional costs associated with purchasing a home. The rationale behind this policy is to promote home ownership among first-timers, making it more accessible and affordable.

To further clarify, the exemption applies specifically to first-time buyers, and the eligibility is contingent upon the FMV being below the stipulated threshold of $500,000. This initiative recognizes the challenges many individuals face when entering the housing market for the first time.