You’ve probably heard something along the lines of ‘you need a 20% deposit to buy a home’, right? Well, not necessarily. Today we’ll look at two options available to eligible first home buyers, including a $1 lenders mortgage insurance offer that’s just been launched.
Now, to be fair, that 20% deposit figure quoted by your uncle Barry wasn’t plucked out of thin air. Barry’s just a little behind the times (as a scroll through his Facebook feed would attest).
Let us explain.
In the past, first home buyers typically had to save a 20% deposit to avoid paying lenders mortgage insurance, otherwise known as LMI.
Now, this insurance isn’t to protect you. LMI is to protect the bank against any loss they may incur if you’re unable to repay your loan (because they see first home buyers with less than a 20% deposit as higher risk).
The problem is that LMI isn’t cheap. For example, if you wanted to purchase a $600,000 property, but only had a 15% deposit ($90,0000), you’d likely have to pay about $6000 in LMI.
But since the start of the year, two options to avoid paying thousands of dollars in LMI have emerged for eligible first home buyers: the first being the federal government’s First Home Loan Deposit Scheme (FHLDS), and more recently, St George’s $1 LMI offer.
Basically, LMI will be reduced to only $1 for eligible first home buyers with a Loan to Value Ratio (LVR) up to 85%.
In other words, it’s for first home buyers who have a deposit between 15% and 20%.
Here are a few other important eligibility details:
– The LMI purchase must be for your first home loan and for your first property (however for joint applications, only one applicant must be a first home buyer).
– You must be the owner-occupier of the property and make principal and interest repayments.
– The offer is available on loans up to $850,000 (with a 15% deposit, this equates to a $1 million property value, which is much higher than the FHLDS below).
– Only one property can be financed per application.
– There are no income caps.
The federal government’s scheme allows eligible first home buyers with only a 5% deposit to purchase a property without paying for LMI – which can save you up to $10,000.
But here’s the catch: only 10,000 spots are available this financial year.
That might sound like a lot but 3,000 spots went in the first 10 days last time.
There are a few other important eligibility details to consider here, too, including:
– Property price caps for different cities and regions across the country (ranging between $400,000 to $700,000 in capital cities).
– Income caps (singles $125,000, couples $200,000).
– For couples, both need to be eligible home buyers.
We understand that buying your first home can be daunting.
But the good news is that we help first home buyers apply for finance on a weekly basis, and we pride ourselves on being there for our clients to guide them through the process.
So if you’d like to find out more about one of the LMI offers above, then please get in touch – we’re more than happy to explain them to you in more detail.
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.
Home and business owners struggling financially due to COVID-19 will be given another four months to resume paying back their loans.
Extended loan deferrals will be provided to those who genuinely need more than the current six-month timeframe, says the Australian Banking Association (ABA), however, extensions won’t be automatic.
While each bank’s deferral policy differs, it’s important to note that deferring repayments on your loan generally doesn’t stop interest from accruing.
As such, customers who are able to repay their loans will resume doing so, says the ABA, adding that it’s in their best interests to do so and allows banks to direct support to those who need it.
800,000 people have deferred their loan repayments so far during the COVID-19 crisis and the four-month extension aims to help the economy avoid the September ‘cliff’ that you’ve probably heard about.
The good news is you won’t have to. If repayments on your home or business loan have already been deferred then your bank will contact you when the end of your six-month deferral period nears.
That’s because they’ll first want to discuss some possible options to restructure or vary your loan, including:
– extending the length of the loan
– switching to interest-only payments for a period of time
– consolidating debt
– a combination of these and other measures.
If you’re financially unable to enter into one of the above arrangements by the end of your six-month deferral period, you’ll be eligible to extend your deferral for up to four months.
Good news. If you recommence repayments on your existing loan or enter into a new repayment arrangement, your credit report will not be impacted, provided you meet the new repayment arrangements.
The same goes for if you’re granted an extended deferral period that’s approved by your bank: your credit report will not be impacted.
If you’d like more information about the repayment deferral extension, or to discuss some possible options for restructuring or varying your loan before the bank puts you on the spot, then please don’t hesitate to get in touch.
We’re here to help you through these difficult times any way we can.
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.
‘Open Banking’ is now officially upon us. But what does that mean and why should you care? Well, in a nutshell, it’ll be easier and quicker for you to get a better deal on banking products going forward.
With all that’s going on in the world right now, it’s been interesting to see one of the nation’s biggest banking overhauls in recent memory slip a little under the radar.
Legislation came into effect on July 1 that’ll make it easier and more convenient for you to switch banks when you’ve found a better deal on a financial product.
It’s called ‘Open Banking’, and it will allow you to easily share your banking data with your bank’s competitors in order to access more personalised and competitive financial products and services.
Now, on the face of it, this can sound a little off-putting. After all, it’s being drummed into us to protect our data as much as possible these days.
But the good news is that Open Banking keeps the power in your hands: you can choose who to securely share your data with, and when.
Nowadays, most of the transactions you make are done so online.
For example, you likely get paid electronically, you pay your bills online, and you buy most things using a debit or credit card that’s recorded by your bank online.
Now, every time one of those transactions takes place it creates data.
This data is then collected by your bank, stored, and used to understand you better and create products and services that you might like.
This kind of insight gives your bank the inside lane when it comes to securing you as a customer.
Now, let’s say another financial institution offering a financial product, such as a home loan, catches your interest.
This financial institution likely knows very little, if anything, about you.
To find out more about you, and what they can offer you, you’d need to complete quite a bit of paperwork work them.
That includes detailed information on what you earn, what you owe, what you spend, and where you spend it – it can be pretty darn time-consuming.
But imagine if all you had to do is give that new financial institution permission to access the data your current bank already has.
Well, that’s Open Banking. It gives you the power to control who you securely share your data with and how it can be used.
The Open Banking system will start small but will ramp up over time.
At present, all four major banks are now capable of sharing your data – if you request it – while smaller financial institutions will join over the coming year.
At this stage, however, you can only request that your bank share your deposit and transaction account data, as well as your credit and debit card data, to financial institutions that the ACCC have authorised to receive it.
From November 1 you’ll also be able to share data relating to home loans, investment loans, personal loans and joint accounts.
“This gives consumers control over information banks already collect about them,” explains ACCC Commissioner Sarah Court said.
“Importantly, it allows consumers to share that data with other businesses, such as fintechs, that may be able to provide them more personalised services and competitive offers.”
By the end of the year, the ACCC anticipates there will be dozens of financial companies accredited – meaning more companies battling it out to provide you with the best deal they can.
Now, it’s important to note that you don’t have to wait until Open Banking is in full swing before checking whether you can apply for a better deal on your home loan.
As you know, we’re always here to take the legwork out of the process for you.
So if you’re overdue for a home loan health check then get in touch today – we’d love to help you out!
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.
On your marks, get set, go! The race is on for limited spots in the federal government’s First Home Loan Deposit Scheme, which kicked off again on July 1.
The scheme allows eligible first home buyers with only a 5% deposit to purchase a property without paying for lenders mortgage insurance (LMI) – which can save you up to $10,000.
But here’s the catch: only 10,000 spots are available this financial year.
That might sound like a lot but 3,000 spots went in the first 10 days last time.
Usually, first home buyers with a deposit of less than 20% have to fork out for LMI when taking out a home loan.
But under the federal government’s FHLDS, eligible first home buyers with only a 5% deposit can purchase a property without having to pay for LMI.
Now, it’s important to note this is not a handout – it’s a government guarantee to help first home buyers break into the property market with a smaller deposit.
But the good news is that it is available alongside other state and federal government first home buyer schemes that are currently running.
More details on eligibility and property price caps can be found on the scheme’s website www.nhfic.gov.au.
If you’re thinking about purchasing your first home soon and are considering applying for this scheme – give us a call today.
While 10,000 spots might sound like a lot, the starter’s gun has already gone off and hundreds of first home buyers could apply for the scheme every day in the first two weeks alone.
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.
The “crucial final touches” on the federal government’s $25,000 HomeBuilder scheme have been revealed. Will your build be eligible?
When the federal government announced its $25,000 HomeBuilder scheme in early June the immediate reaction from many was ‘you little beauty’, quickly followed by, ‘wait… will my project even be eligible?’
It’s a question that’s lingered for a few weeks, however we now have more clarity.
And the good news is that the Housing Industry Association (HIA) – the construction industry’s peak national body – has welcomed what it’s labelled the federal government’s “crucial final touches” on the scheme.
So what are these final touches? Let’s take a look.
It looks as though homeowners now have a little more wiggle room when it comes to having their finance, building proposals and other legal requirements approved.
One of the biggest criticisms of the scheme when it was first announced was that homeowners needed to get everything approved and construction commenced within a fixed three-month timeframe.
Now, the scheme’s official FAQ on the Treasury website still states that construction must commence within three months of the contract date.
However, it now adds a provision for cases where approvals are unexpectedly delayed.
“States may exercise discretion where commencement is delayed beyond three months from the contract date due to unforeseen factors outside the control of the parties to the contract. For example, delays in building approvals,” Treasury states.
Here’s what the HIA adds on the update: “Recognising that a fixed three-month timeframe to commence building work did not reflect how dependent home builders are on other players, like the banks, the councils and building certifiers, is extremely important.”
Off-the-plan apartments and townhouses that don’t exceed $750,000 are eligible for HomeBuilder.
But what was doing a lot of people’s heads in was the timing of it all: did it simply need to be an off-the-plan purchase? Could construction have already been underway?
Well, we now have some clarification.
To qualify for the scheme the first box to tick off is that you need to sign the contract to buy the off-the-plan dwelling on or after 4 June 2020, and on or before 31 December 2020.
The second box is that construction needs to commence on or after 4 June 2020, and no later than three months after the contract is signed.
If, however, you sign the contract to buy the dwelling after 4 June 2020, but construction commenced before 4 June 2020, then the home won’t qualify for HomeBuilder.
Now, as mentioned in the above section, keep in mind that states and territories may exercise discretion where the commencement of construction is delayed beyond three months and it’s outside your control.
However, you’ll definitely want to ensure you do your due diligence on the project’s estimated construction date to give yourself the best possible chance of receiving the $25,000 grant.
Last, but certainly not least, Treasury released more information on the timing of the $25,000 payments.
“It is expected that, where possible, states and territories will align the HomeBuilder application processes with existing processes for first home owner grants (or similar),” Treasury states.
Basically, this means the ball is now in the court of state and territory revenue offices, which will soon outline the final details of how applicants can apply as well as the timing of the payments.
And the good news is the HIA is optimistic.
“HIA has been working closely with state and territory revenue offices and we look forward to receiving these details soon, which will assist home buyers and builders to begin taking full advantage of the grant,” the HIA said.
As mentioned above, while the federal government has provided its final touches on the scheme, we’re still waiting for each state and territory to confirm their own final touches.
But if it looks like you’ve ticked the above boxes and you want to start looking at financing options for your HomeBuilder project, please get in touch.
As with most things in life, the more organised you are, the better!
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.
Keen to buy a vehicle or another asset for your business and immediately write off the cost? You’ve got just a few days left to take advantage of the $150,000 instant asset write-off for this financial year.
While the federal government recently extended the scheme to 31 December 2020, those keen to claim the deductions sooner rather than later will want to beat the June 30 EOFY deadline.
A few months back the federal government increased the instant asset write-off threshold from $30,000 to a whopping $150,000 as part of its coronavirus economic stimulus package.
Under the scheme, businesses with an annual turnover of up to $500 million can immediately write off the cost of assets such as vehicles, tools, equipment and – thanks to the recent $150,000 threshold increase – heavy vehicles, tractors and machinery.
Basically the scheme allows you to immediately claim all the tax deductions you would have claimed over the life of the asset.
This can help with your cash flow, as getting the cash back sooner means you can re-inject it straight back into other parts of your business.
As mentioned above, the end-of-financial-year is fast approaching.
The good news is that even if you get the ball rolling on it now, and still miss the deadline by a day or two, you’ll have peace of mind knowing that you’ll qualify next financial year under the 31 December deadline.
So if you’d like help obtaining finance for an asset then please get in touch – we can run you through more details of the scheme and present you with financing options that are well suited to your business’s needs now, and into the future.
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.
Most of us have at one time dreamed of discovering a hidden little gem and renovating it into the most enviable house on the street. With the $25,000 HomeBuilder grant, those dreams are closer to becoming a reality for many. But where to look?
Well, recent realestate.com.au data might have revealed the answer.
They’ve analysed all the listings in their database for keywords such as “renovate”, “renovation” and “STCA” (subject to council approval), and then ranked each suburb on the percentage of properties containing those keywords.
So with the federal government’s HomeBuilder scheme providing eligible homeowners a $25,000 grant to substantially renovate their homes, the below suburbs could be a good starting point for your search.
NSW: Lethbridge Park 2770 (70%), North St Marys 2760 (67%), Hebersham 2770 (64%), Oakhurst 2761 (62%), Kandos 2848 (59%).
VIC: Frankston North 3200 (70%), Mount Dandenong 3767 (50%), Canterbury 3126 (47%), Ivanhoe East 3079 (45%), Doveton 3177 (44%).
QLD: Sadliers Crossing 4305 (58%), Petrie Terrace 4000 (53%), Newtown 4305 (50%), Herston 4006 (50%), Grange 4051 (47%).
WA: Glen Forrest 6071 (50%), Northcliffe 6262 (47%), North Lake 6163 (42%), Greenmount 6056 (41%), Greenwood 6024 (40%).
SA: Angaston 5353 (50%), Happy Valley 5159 (50%), Hawthorndene 5051 (42%), Aberfoyle Park 5159 (41%), Panorama 5041 (40%).
TAS: Battery Point 7004 (50%), Triabunna 7190 (46%), Moonah 7009 (46%), West Moonah 7009 (38%), Dynnyrne 7005 (36%).
ACT: Wanniassa 2903 (46%), Farrer 2607 (42%), Evatt 2617 (40%), Curtin 2605 (37%), Mawson 2607 (32%).
NT: Driver NT 0830 (39%), Woodroffe 0830 (38%), Fannie Bay 0820 (33%), Rapid Creek 0810 (32%), Moulden 0830 (31%).
Day-dreaming about renovating is one thing; financing it and actually making it happen is another. Fortunately, that’s where we can help out.
So if you’d like help obtaining finance to pay for that reno project you’ve got your eye on, get in touch with us today – we’re here to help make your reno dream a reality.
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.
You’ve probably heard the federal government is giving $25,000 grants to eligible Australians looking to build or substantially renovate their homes. Today we’ll look at what that means for first home buyers when combined with state and territory schemes.
If you’ve been umming and ahhing about purchasing your first home for a while now, we have great news: you’d be hard-pressed to find a time when there were more government incentives to help you enter the property market.
For starters, there’s the federal government’s First Home Loan Deposit Scheme, which can help you buy your first home with a deposit of just 5% without having to pay lenders mortgage insurance (LMI) – so that’s one major cost out of the way.
Well, each state and territory (except ACT) has a first homeowner grant program, with most grants between $10,000 and $20,000.
On top of that, the federal government will give eligible Australians $25,000 to build or substantially renovate homes as part of the new HomeBuilder scheme (however, at this stage it’s still unclear whether or not this amount can go towards your initial deposit).
Last but certainly not least, most states and territories have stamp duty discounts or exemptions for first home buyers too, which can save you tens of thousands of dollars – another hurdle cleared!
Below, we’ll break down exactly what’s on offer in each state and territory and just how much these government initiatives could help put you within reach of a deposit on your first home.
First homeowner grant: $10,000 for new homes valued up to $750,000.
First Home Loan Deposit Scheme: LMI saving of up to $10,000.
Stamp duty: exemption on homes up to $650,000, partial concession on homes between $650,000 and $800,000.
With HomeBuilder, you could have: up to $45,000 in government support + stamp duty exemption.
First homeowner grant: $10,000 (urban) and $20,000 (regional) for new homes valued up to $750,000.
First Home Loan Deposit Scheme: LMI saving of up to $10,000.
Stamp duty: exemption on homes up to $600,000, partial concession on homes between $600,001 and $750,000.
With HomeBuilder, you could have: between $45,000 and $55,000 in government support + stamp duty exemption.
First homeowner grant: $15,000 on new homes valued at less than $750,000.
First Home Loan Deposit Scheme: LMI saving of up to $10,000.
Stamp duty: exemption on homes up to $500,000, partial concession on homes up to $550,000.
With HomeBuilder, you could have: up to $50,000 in government support + up to $15,925 in stamp duty concessions.
First homeowner grant: $10,000 on new or substantially renovated homes valued at less than $750,000 south of the 26th parallel (latitude), or less than $1,000,000 north of the 26th parallel. WA also offers $20,000 grants for new homes built on vacant land or off-the-plan single-storey developments.
First Home Loan Deposit Scheme: LMI saving of up to $10,000.
Stamp duty: exemption on homes valued at up to $430,000, partial concession on homes up to $530,000. An off-the-plan unit rebate is available for more expensive homes.
With HomeBuilder, you could have: up to $65,000 in government support + applicable stamp duty concessions.
First homeowner grant: $15,000 on new homes valued up to $575,000.
First Home Loan Deposit Scheme: LMI saving of up to $10,000.
Stamp duty: full concession on off-the-plan new or substantially refurbished apartments up to $500,000.
With HomeBuilder, you could have: up to $50,000 in government support + stamp duty concession.
First homeowner grant: $20,000 on new homes (reduced to $10,000 from 1 July 2020).
First Home Loan Deposit Scheme: LMI saving of up to $10,000.
Stamp duty: a 50% discount on stamp duty for established properties valued at $400,000 or less.
With HomeBuilder, you could have: up to $55,000 in government support.
First homeowner grant: none.
First Home Loan Deposit Scheme: LMI saving of up to $10,000.
Stamp duty: first home buyers in the ACT pay no duty so long as their household income is below $160,00-$176,650, depending on how many dependents you have.
With HomeBuilder, you could have: up to $35,000 in government support + stamp duty exemption.
First homeowner grant: $10,000 for new homes.
First Home Loan Deposit Scheme: LMI saving of up to $10,000.
Stamp duty: you can get up to $18,601 off your stamp duty costs.
With HomeBuilder, you could have: up to $45,000 in government support + up to $18,601 in stamp duty savings.
So, that covers the first home buyer schemes. If you think you might be eligible, the next thing to organise is financing your new home.
And that’s where we come in. Lenders will still want you to show some sort of genuine savings before they’ll approve a loan application, and we can help you get everything in order for that assessment process.
So if you’d like help obtaining finance to pay for the first home of your dreams, get in touch with us today – we’re here to help you any way we can.
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.
Great news for small business owners: the federal government has extended the $150,000 instant asset write-off to 31 December 2020, but you’ll need to act asap if you want to make use of the scheme this financial year.
A few months back, just as coronavirus was ramping up in Australia, the federal government increased the instant asset write-off threshold from $30,000 to a staggering $150,000 as part of its economic stimulus package.
Under the expanded scheme, businesses with an annual turnover of less than $500 million can immediately write off the cost of new or second-hand assets such as food vans, tools, equipment and – thanks to the recent threshold increase – heavier vehicles such as trucks, tractors, and machinery.
Better yet, the threshold applies on a per asset basis, so eligible businesses can immediately write off multiple assets.
Under the scheme, an asset must be installed and ready to use by the deadline (previously June 30) in order to be eligible.
So, by giving a six-month extension (to December 31) the government is giving under-the-pump businesses around the country “additional time to acquire and install assets” – which essentially means a little more breathing room.
All that said, there’s still time to make the most of the scheme this financial year.
By doing so, you can immediately claim all the tax deductions you would have claimed over the life of the asset.
This can help with your business’s cash flow, as getting the cash back sooner means you can re-inject it straight back into other parts of your business.
So if you’d like help obtaining finance before the June 30 EOFY deadline, please get in touch.
We can present you with financing options for the instant asset write-off scheme that are well suited to your business’s needs now, and into the future.
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.
You might have heard that the federal government will give eligible Australians $25,000 to build or substantially renovate homes as part of the new HomeBuilder scheme. Today we’ll look at who exactly can qualify for the initiative.
The $680 million program, which is part of the federal government’s economic response to the coronavirus pandemic, aims to support more than 1 million builders, painters, plumbers and electricians across the country.
It’s also a win for many Australians wanting to buy a new home or begin an overdue reno, as the $25,000 grants are non-taxable and will complement existing state and territory first home owner grant programs, stamp duty concessions and other federal schemes.
So, without further ado let’s see whether or not you might be eligible.
To access HomeBuilder, owner-occupiers must:
– be an individual, not a company or trust;
– be aged 18 years or older;
– be an Australian citizen; and
– have an income of less than $125,000 per annum for an individual applicant, or $200,000 for a couple (income caps are based on 2018/19 tax returns or later).
Additionally, you must 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 valued up to $750,000 (including land); or
– substantially renovate your existing home as a principal place of residence, with renovations valued at between $150,000 and $750,000, and with the dwelling not valued at more than $1.5 million before the renovation.
Construction must be contracted to commence within three months of the contract date.
All dwelling types – including houses, apartments, house and land packages and off-the-plan dwellings – are eligible.
However, HomeBuilder cannot be used for additions that are unconnected to the principal place of residence, such as swimming pools, tennis courts, outdoor spas and saunas, and detached sheds or garages.
HomeBuilder is also not available for investment properties or to owner-builders.
The $25,000 grant will go directly to the applicant, not the contractors.
Renovations or building work must be undertaken by a registered or licenced building service contractor.
To help protect against inflated quotes and pricings, the registered or licensed builder must be able to demonstrate that the contract price for the new build or renovation is no higher than the cost of comparable works done back in July 2019.
To find out more about what the HomeBuilder grant might mean for you, check out the case studies at the bottom of this Treasury HomeBuilder factsheet.
They run through scenarios involving a house and land package, a renovation, an off-the-plan apartment, knocking down and rebuilding a house, and building on a vacant block.
So, that covers the scheme’s eligibility details. If you’ve ticked the above boxes, the next thing to tackle is financing the project.
And that’s where we can help.
If you’d like help obtaining finance to pay for the new home or reno of your dreams, get in touch with us today – we’re here to help make your HomeBuilder dreams a reality.
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.