You may have seen recently that both the State and Federal Governments announced new stimulus grants to help the building industry navigate through the impacts of the Coronavirus.

With the details for both grants released and finalised, here is everything you need to know!

 

Federal HomeBuilder Grant

The HomeBuilder grant is worth $25,000 and can help you with either a new home build or renovation.

 

  • You must be over 18 and an Australian citizen
  • You do not have to be a first home builder
  • You are eligible if you are purchasing the build off a plan
  • If you’re an individual applying for the grant you must not earn over $125,000 per year
  • Couples must not earn over $200,000 (combined income)
  • If building, the property value must not exceed $750,000
  • If renovating, the value of your existing property must not exceed $1.5 million
  • The total value of the renovations must be $150,000 or over
  • You must have a signed building contract before December 31st 2020
  • Construction must commence within 3 months of the contract date
  • The grant is uncapped and will not be taxed
  • If you already own land and have plans to build you are still eligible, provided you haven’t already signed a contract

 

Tasmanian Government Grant

Working alongside the Federal grant, premier Peter Gutwein announced a further $20,000 grant is available to new home builds.

 

  • The grant is only available until 31st of December 2020
  • You must live in the house once the build is completed (for at least 6 months)
  • In order to keep the grant, the build needs to be completed within 18 months
  • You must be over 18 and an Australian citizen
  • Renovations are not eligible
  • Owner builders and pre-built homes are not eligible
  • Investment properties are not eligible
  • You cannot have a special relationship with your builder (cannot be your relative)
  • If you’re an individual applying for the grant you must not earn over $125,000 per year
  • Couples must not earn over $200,000 (combined income)
  • The property value must not exceed $750,000
  • You must have a signed building contract before December 31st 2020
  • Construction must commence within 3 months of the contract date
  • If you already own land and have plans to build you are still eligible, provided you haven’t already signed a contract

 

You can apply for both grants through Service Tasmania.

A $45,000 boost will make a huge difference when and if you’re looking to build, but it’s still important to ensure that you’re getting the best loan and one that suits your needs and budget.

In our experience it can take some time to get approvals and permits for a new build, so our advice would be to start making some calls now if you’re serious. In regards to finance, give us a call so we can help you with your loan and help navigate the grants. As always, we’re happy to help!