What you need to know about the HomeBuilder Grant
The grant, designed to boost the economy, has caused quite a stir, but also some confusion as it can be utilised for renovations as well as new builds.
We’ve got you covered on everything you need to know on how to use the grant to your advantage.
How to receive the $25,000 cash back
Whilst you could spend $150,000 to renovate your home in order to receive the $25,000 cash back, the numbers work better if you are already considering buying a new home.
The beauty of new builds is that they can go anywhere.
So why settle for a poky 400sqm block when you could achieve the lifestyle available on a beautiful 3000sqm plus block amongst established trees with all new infrastructure?
This government grant that will help boost the economy, much needed following the Covid 19 crisis, will mean you can build on your dream block with room for growth for your family.
In addition to the package, there are also economies of scale to consider when buying rural residential.
Taking Caboolture as an example, a 3000sqm block in The Peaks starts from only $105 per square metre, whereas a 450sqm block in some competing residential estates will put you back over $475 per square metre.
The Key Criteria of the Grant
So, considering the lifestyle advantages, coupled with the ability to build on a block that allows for growth, and the economies of scale of buying an lifestyle acreage block, let’s take a look at the criteria of the grant and see if you also qualify for this additional stimulus package:
- Building must be contracted within three months.
- Income capping of singles ($125,000) and couples ($200,000) apply.
- New build value is capped at $750,000.
The criteria provided means you can think bigger and look to your family’s future.
In addition to this grant, it will work alongside first-home owner grant programs (an extra $15,000 giving first home buyers $40,000 in grants), and including the federal government’s first-home loan deposit scheme and first-home super saver scheme.
This means, if you are one of the lucky ones that are in a position to build, it has never been a better time.
As the scheme is going to be running for only 6 months (up until 31 December 2020), it means that decision needs to be made quickly.
It precludes already contracted parties and will have a very sharp cut off.
So, if you are still wondering whether to take the leap to build your own home, take a look at all the figures of buying rural residential with the stimulus in place.
With the grant including larger blocks, you can move to an acreage block and build a home with room down the track for a pool, sheds and all that you might ever want, but still be close to amenities.
This stimulus package is ideal for those who are able to take advantage of the low interest rates.
Whilst we understand it is not package that will help everyone, it will help keep and generate jobs in the construction industry whilst helping others achieve their dream of owning their own home on acreage.