A lot has changed since the start of the COVID-19 pandemic and life is slowly getting back to normal as social restrictions are eased at a different pace, state by state. All levels of Government are now shifting their focus to targeted economic stimulus.
HomeBuilder is the latest Federal Government stimulus targeted at the residential renovation and new home construction market. The Government is offering a grant of $25,000 to build a new home or substantially renovate an existing home, where a contract is signed between 4 June 2020 and 31 December 2020.
To be eligible, you must be an Australian citizen and an owner-occupier over the age of 18. You will need to earn less than $125,000 per annum for an individual or $200,000 per annum for a couple (based on 2018-19 tax return).
If you choose to renovate, the cost of the renovation contract will need to be between $150,000 and $750,000. The value of your property must not exceed $1.5 million pre-renovation.
If you choose to build a new home, your property value must not exceed $750,000. Construction for the new build or renovation will need to commence within three months of the contract date.
The State and Territory governments will distribute the HomeBuilding grant when the builder you employ seeks permits and submits appropriate applications. First home buyers are still eligible for the respective State or Territory Government grants on top of the HomeBuilder grant.
HomeBuilder might just be the extra money needed to build your first home, complete that major renovation or build your new home.
Please note this article provides general advice only and has not taken your personal, business or financial circumstances into consideration. If you would like more tailored advice, please contact us today.