Professionals Orange BLOG POST
June 2020
Now that we’re starting to emerge from isolation and weigh up our
options in the property market, we thought it might be a good time to
take a closer look at a really interesting proposal from the federal
government – HomeBuilder.
If you were already considering a major renovation or building a new
home before the Covid-19 lockdown, there could now be an even bigger
incentive.
Not only can you borrow very inexpensively at the moment with interest
rates at record lows, but you might also be eligible for a government
grant of $25,000 to assist towards the cost of your project.
In a strong property market such as Orange, this incentive could be a
double win for many, as the extra cash injection will be adding value to
already impressive capital growth.
The government hopes the new scheme will encourage home owners to
spend money on construction, and keep hundreds of thousands of
builders and tradespeople employed in the wake of a possible downturn
due to the pandemic.
For homeowners, the $25,000 grant is a fantastic opportunity for those
who are in a financial position to renovate or rebuild.
There are a few restrictions on eligibility, however, and it will be
important to understand these. To access the grant:-
You cannot earn more than $125,000 per year for singles or $200,000
per year for couples
New builds must not cost more than $750,000
Renovations must cost between $150,000 and $750,000, and the house
must be valued at less than $1.5 million prior to renovation
The property must be owner-occupied, and renovations must be part of
the main property and be completed by an eligible builder
If you would like to take advantage of this exceptional government grant
by doing a major renovation or building a new home, you can find out
more at https://treasury.gov.au/coronavirus/homebuilder
