In June 2020, the government announced a new stimulus package which directly targets home owners (including first home buyers) and the building industry. The new package has received its fair share of backlash, with many labelling the guidelines as ‘restrictive’ and ‘unfair’ – but looking further in depth at this package, if you’re planning a substantial renovation or new home build, you may be entitled to the $25,000 grant.
Since its announcement, over 12,000 Australian’s have already visited the Treasury website to register their interest. Housing minister Michael Sukkar anticipates that applications will be in the tens of thousands.
So, are you entitled and what is involved?
- Singles must earn LESS than $125,000 based on their 2018/2019 tax return, couples LESS than $200,000 combined.
- Building contracts need to be executed between 4th June – 31st December 2020.
Building a new home?
- It must be your principal place of residence. It must be valued UP to $750,000 INCLUDING the value of your land.
Renovating an existing property?
- If you are renovating an existing property, it must have an UPGRADE value between $150,000 – $750,000, meaning you must be spending AT LEAST $150,000 on your renovation to receive the grant.
- Your property must be worth less then $1.5 million BEFORE the renovation and construction must commence within three months of the contract date.
What can / can’t the grant be used for?
- It CAN be used for kitchen and bathroom renovations carried out by licensed contractors
- It CANNOT be used for add-ons like swimming pools, tennis courts, outdoor spas, saunas or garages
- It CANNOT be claimed for investment properties and owner builders are also ineligible.
As always, Houspect NSW is available for all inspections during any construction or renovations you may undertake.