Morrison Government extends HomeBuilder Grant for a further 3 months

Sunday, 29th March 2020 - The Morrison Government has today announced an extension of its’ highly successful HomeBuilder Grant. The grant will be extended for a further three months, from 1 January 2021 to 31 March 2021. The extension is expected to further support the construction or major rebuild of around 15,000 homes nation-wide. This is in addition to the 27,000 homes the scheme is already expected to support, bringing it to a total of around 42,000 homes across Australia. (source)

Those applying for the HomeBuilder Grant from 1, January 2021, will be entitled to $10,000 less cash, but property price caps have been increased for those in Victoria and New South Wales.

HomeBuilder program criteria	Contracts signed between 4 June and 31 December 2020 (inclusive)	Contracts signed between 1 January and 31 March 2021 (inclusive)
Grant amount (new builds and substantial renovations)	$25,000	$15,000
Construction commencement timeframe	Construction must commence within six months of the contract being signed.
New build price cap	Property value cannot exceed $750,000	Property value cannot exceed: $950,000 in NSW; $850,000 in Victoria; or $750,000 in all other States and Territories.
Substantial renovation price cap	The value of the property cannot exceed $1.5 million (pre-renovation).
Application deadline	Applications must be submitted to the relevant State Revenue Office by 14 April 2021.
Licensing requirements for builders/developers	Where an eligible contract is signed on or after the 29 November 2020, the builder or developer must have a valid licence or registration before 29 November 2020. Where an eligible contract is signed before 29 November 2020, the builder or developer must have a valid licence or registration before 4 June 2020.
Other eligibility criteria	Existing program eligibility criteria remains.

Source

Assistant Treasurer and Minster for Housing, Michael Sukkar said the most recent data showed HomeBuilder had already had around 24,000 applications, on track to exceed expected take-up levels.

“This has been a highly effective programme that’s delivering real results for home buyers and has kept tradies in work throughout the COVID pandemic,” Minister Sukkar said.

“There is no better proof of HomeBuilder’s success than the latest Housing Industry Association’s new home sales data, which shows sales are 31.6 per cent higher in the three months to October 2020 when compared with the same time last year.

“This is a temporary and targeted programme and we want to give buyers the confidence and support to enter the market right now at a time when the economy needs it most.”

This announcement also builds upon the extension of the First Home Loan Deposit Scheme announced in the Budget, which delivered 10,000 guaranteed loans to allow first home buyers to obtain a loan to build a new home or purchase a newly built home, with a deposit of as little as five per cent.

Together this represents an unprecedented level of Federal Government assistance for home buyers and the construction industry alike.

Wanting to take advantage of the HomeBuilder Grant to purchase a new or off the plan property? We have a large amount of HomeBuilder Grant eligible projects to choose from Australia-wide, including House and Land packages, Townhomes and apartments. Speak with one of our helpful property consultants today about your requirements and how we can help you secure a new home.