The $688 million program to help boost the home construction industry
On the 4th June, the federal government announced the new $688 million HomeBuilder program that will offer eligible Australians $25,000 grants to build a new home or start a major renovation. This announcement comes in the wake of new figures that revealed the country dipping into recession for the first time in three decades. This program is aimed to boost the economy and act as a lifeline to the home construction industry.
To access HomeBuilder, owner-occupiers must meet the following eligibility criteria:
- you are a natural person (not a company or trust);
- you are aged 18 years or older;
- you are an Australian citizen;
- you meet one of the following two income caps:
- $125,000 per annum for an individual applicant based on your 2018-19 tax return or later; or
- $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:
- build a new home as a principal place of residence, where the property value does not exceed $750,000; or
- 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.
Process and timing
HomeBuilder will be implemented via a National Partnership Agreement, signed by the Commonwealth and State and Territory governments. This approach will utilise existing state and territory mechanisms to distribute the HomeBuilder payments.
When the States and Territories begin accepting HomeBuilder applications, they will backdate acceptance of these applications to 4 June 2020.
Information on when and how you will be able to access HomeBuilder will become available through the relevant State or Territory revenue office.
- VIC – https://www.sro.vic.gov.au/
- ACT – https://www.revenue.act.gov.au/
- NSW – https://www.revenue.nsw.gov.au/
- NT – https://treasury.nt.gov.au/dtf/territory-revenue-office
- QLD – https://www.treasury.qld.gov.au/…/revenue-and-taxation/
- TAS – https://www.sro.tas.gov.au/
- WA – https://www.wa.gov.au/organisation/department-of-finance
Posted: Friday, 10th June 2020