Phew- what a year 2020 has been! To help home buyers and the construction industry, two new grants are now available for eligible home buyers. Yep, you could get up to $45,000 with the HomeBuilder Scheme and the Building Bonus Package when you build a new home in Perth. Plus, if you’re a first home buyer, it can be $55,000 thanks to the First Home Owners Grant!
Similar to the First Home Owners Grant, the HomeBuilder scheme provides home buyers on low to middle incomes an extra $25,000 cash bonus to go towards their new home. What’s great about this scheme is that it’s not just for first home buyers- previous home owners are eligible!
This scheme is from the Federal Government and was created to boost construction jobs around Australia. That’s why it’s available not just for building new homes, but if you want to renovate as well.
To be eligible for this $25,000, you must be on site within three months of signing your contract. Yep, that’s pretty tight. What this means is that titled land is selling quickly so if you’re thinking about building, get in touch with us today!
This scheme is running from June 4th 2020 until December 31st 2020. As homes have to be onsite in 3 months, titled blocks are going to be snapped up quickly so it’s best to start your journey now.
• You are an individual (not a company or trust)(Investors and owner builders will also be banned for claiming the grant).
• Aged 18 years or older.
• You are an Australian citizen.
• You meet one of the following two income caps:
o $125,000 per annum for an individual applicant based on your 2018-19 tax return or later or
o $200,000 per annum for a couple based on both 2018-19 tax returns or later.
• You enter into a building contract between 4 June 2020 and 31 December 2020 to either:
o Build a new home as a principal place of residence, where the property value does not exceed $750,000; or
o Substantially renovate your existing home as a principal place of residence, where the renovation contract is between $150,000 and $750,000, and where the value of your existing property does not exceed $1.5 million;
• Construction must commence within three months of the contract date.
The $20,000 Building Bonus Package is a Western Australian grant that was announced by the State Government. Like HomeBuilder, the aim is to encourage more home buyers to build new homes and help the industry.
The criteria for the Building Bonus Package is less restrictive than HomeBuilder. For example, there are no restrictions on income or property value and investors are also entitled to the $20,000 (not just owner occupiers). The timeframe from contract signing to site is six months instead of three, which ensures more blocks are available. Also, you don’t need to be living in WA to access the grant.
Remember, you can claim both the HomeBuilder and Building Bonus Package (yep, $45,000 in benefits)!
This scheme is running from June 4th 2020 until December 31st 2020.
• The home must be constructed as a detached residence (e.g. it cannot share wall with any other buildings).
• The land must be vacant.
• You are an Australian citizen or foreign person; owner occupier or investor; natural person, corporation or trustee.
• You enter into a building contract between 4 June 2020 and 31 December 2020.
• Construction must commence within six months of the contract date.
The First Home Owner Grant was established before the announcement of the two new grants. It allows first home buyers to receive a one-off payment of $10,000 and it’s still available (so you can get up to $55,000 of incentives!).
Keep in mind that the one grant is given per eligible transaction. That means that if two people are buying a house together, they only receive one $10,000 grant.
The grant was first introduced back in 2000 and is ongoing.
•Must be an Australian Citizen or permanent resident.
•At least 18 years of age.
•Have to be a first home buyer who has not previously owned or had interest in a property in Australia either separately or jointly.
•Must intend to be owner occupiers of the property for at least 6 months.
•Couples are only eligible is they are married or in a de-facto relationship with each other.
There’s a huge demand for house and land packages across Perth! While these grants are still in effect until December, the best land will sell quickly! Check out the packages we currently have, but make sure you’re quick because they’re not hanging around!
Want to find out if you’re eligible for the schemes? Tell us a bit about yourself and we’ll get in touch with you.
Over the last 50 years we have proudly built over 15,000 homes for Australian families. We have the same values today as we did in 1969 when we built our first home in Light Street Dianella.
Our commitment is to provide you with complete transparency and give you a real understanding of all aspects of your home loan.