Thinking of building, buying a new home or renovating? The HomeBuilder scheme ends on March 31, which means you’ve got less than two weeks to take advantage of the $15,000 grant.
The Australian government scheme, which was initially due to end in December but was extended to 31 March, has led to a big spike in new home sales in recent months.
And experts are tipping HomeBuilder applications will continue to rise before the impending cut-off date.
“We expect a surge in sales in March,” says Housing Industry Association (HIA) Economist Angela Lillicrap.
“Record low-interest rates and rising house prices are sustaining market confidence into 2021. This strong level of consumer confidence combined with the demographic shift to regional areas is driving ongoing demand for new detached homes.”
What’s the HomeBuilder scheme again?
The current iteration of the HomeBuilder program provides eligible applicants with a $15,000 tax-free grant for building contracts (new builds and substantial renovations) signed between 1 January and 31 March 2021, inclusive.
Applications for the grant can be submitted to the relevant State Revenue Office by 14 April 2021, and construction must commence within six months of the building contract being signed.
There are a number of property price caps worth noting, too.
For new builds, the property value cannot exceed $950,000 in NSW, $850,000 in Victoria, or $750,000 in all other states and territories.
For renovations, the reno contract must exceed $150,000 and the value of the property cannot exceed $1.5 million (pre-renovation).
Properties eligible for the grant
Two weeks might feel like you’re cutting it a bit fine, right?
But rest assured there are a range of build and property types (including ready-to-go ones) that can be eligible for the grant if construction commencement deadlines are met, including:
– off-the-plan apartments
– house and land packages
– new home purchases
– new home builds (on vacant land)
– substantial renovations.
How to take advantage of the grant
With the HomeBuilder deadline now literally days away, it goes without saying that time is ticking.
So get in touch today for more information on how you can take advantage of this $15,000 grant before it ends.
Disclaimer: The content of this article is general in nature and is presented for informative purposes. It is not intended to constitute tax or financial advice, whether general or personal nor is it intended to imply any recommendation or opinion about a financial product. It does not take into consideration your personal situation and may not be relevant to circumstances. Before taking any action, consider your own particular circumstances and seek professional advice. This content is protected by copyright laws and various other intellectual property laws. It is not to be modified, reproduced or republished without prior written consent.