HomeBuilder provides eligible owner-occupiers (including first home buyers) with a grant of $25,000 to build a new home or substantially renovate an existing home.
HomeBuilder will complement existing State and Territory First Home Owner Grant programs, stamp duty concessions and other grant schemes, as well as the Commonwealth's First Home Loan Deposit Scheme and First Home Super Saver Scheme.
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 (house and land) does not exceed $1.5 million (pre-renovation).
- Construction must commence on or after 4 June 2020 and within three months of the contract date.
The HomeBuilder will be executed via a National Partnership Agreement, with 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.
- Owner-builders are ineligible for HomeBuilder
- Investment property are ineligible for HomeBuilder.
- When negotiating a building contract, the parties must deal with each other at arm's length. The terms of the contract should be commercially reasonable and the contract price should not be inflated compared to the fair market price.
- Building works or renovations must be undertaken by a registered or licenced building service 'contractor' and named as a builder on the building licence or permit.
- The renovation works must be to improve the accessibility, safety and liveability of the dwelling. It cannot be for additions to the property such as swimming pools, tennis courts, outdoor spas and saunas, sheds or garages (unconnected to the property).
- HomeBuilder will be non-taxable.
For more information https://treasury.gov.au/coronavirus/homebuilder
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The information provided in this information sheet does not constitute advice. The information is of a general nature only and does not take into account your individual financial situation. It should not be used, relied upon, or treated as a substitute for specific professional advice. We recommend that you contact Brentnalls SA before making any decision to discuss your particular requirements or circumstances.