As if it wasn’t already enough, the Federal government are now offering Australians $25,000 grants to build a new home or start a major renovation with the housing package totalling around $680 million in an effort to boost the economy and act as a lifeline to the home construction industry.
‘HomeBuilder’ or so its been dubbed, the grant will complement existing State and Territory grants and schemes. This includes First Homeowner Grant programs and Stamp Duty concessions as well as the Commonwealths First Home Loan Deposit Scheme, First Home Super Saver Scheme and so on.
If you find yourself in the position of asking yourself the question, “does this change any of my plans?”, take some time to think it over.
This boost of cash is not necessarily the greatest as a means to fast track the timing around you buying your first house or the next home for your family. It’s more designed to give confidence to those who have delayed their plans around purchasing to keep the economy rolling.
Don’t put yourself in a position that you may not be ready to put yourself in.
This being said, if your ducks all line up in a row, please be our guest!
In terms of criteria, here are some of the main details around the grant and its eligibility:
- restricted to people on middle incomes and to new homes and major renovations valued between $150,000 to $750,000.
- the pre-renovation value of the house must not exceed $1.5 million
- excludes sheds, pools, granny flats and any other structures not attached to the property.
- it is a temporary scheme that will last until the end of the year, aiming to build 30,000 homes by Christmas.
- construction of a new home or a substantial renovation must be contracted to begin within three months
- the grant(s) will be means tested, allowing singles who earned up to $125,000 the previous financial year and couples who earned up to $200,000 to access the scheme.
This is obviously a significant opportunity for anyone looking to built or renovate but you’ll need to be prepared and have your finances in place.