For six months only, the Federal Government is offering a major boost for owner-occupiers.
HomeBuilder provides eligible owner-occupiers (including first home buyers) with a grant of $25,000 to build a new home or substantially renovate an existing home.
The grant can be added towards new builds, which will be capped at $750,000 and renovations, which can cost anywhere between $150,000 and $750,000.
In many instances the grant must be applied for by a borrower’s bank as part of the home loan process.
Some commentators have seen that this package will see an extra 30,000 homes built.
And, HomeBuilder can be used alongside other State and Federal packages aimed at the property market.
Already the Tasmanian Government has stated that it will expand its first home builders funding of $20,000 for any owner-occupier to build a house. This could see various levels of government add $45,000 to build their own home.
And the ACT Government has announced that stamp duty on new land and off-the-plan apartments in Canberra will be waived or reduced for 12 months,
It is anticipated that other states will also boost their homeowner schemes
The scheme will not apply to investment properties or owners who intend on building or renovating on their own without the help of builders.
HomeBuilder is likely to breath life into the housing market. If you want to know how it works, we suggest you contact your Origin broker sooner rather than later – before you can’t get hold of a tradie.
Graeme Salt is a leader of The Futurus Group, whose brands primarily comprise Origin Finance, Chan & Naylor Finance as well as Walker & Miller Training. For a no-obligations consultation, please contact him on 1300 30 67 67.