Imagine yourself in your country home sooner. It’s a welcome thought with all that has happened this year, isn’t it? Escape to the country and make the most of the working from home lifestyle. Fortunately, this is even more of a possibility with the news of the recent HomeBuilder grant. This was established in response to the coronavirus crisis. It means you could have a further $25 000 to add those extra elements to your home that you have always wanted.
HomeBuilder is intended to stimulate the construction industry in the third quarter of 2020. As long as you meet the eligibility criteria, you can access the grant. The grant applies whether you are building your new home from scratch, doing a renovation, or a knockdown rebuild. If you are considering making the move, here is everything you need to know about the grant, the eligibility criteria and the benefits of building a modular home.
What is HomeBuilder?
The HomeBuilder grant allows owners/occupiers (whether they are first home buyers or not) to access $25 000 to go towards their new home, renovation or knockdown rebuild. Modular builds, like those built by Swanbuild Homes, are eligible for the grant.
Eligibility Criteria
To be eligible for the grant you must be;
- A natural person (not a company or trust) who is 18 years of age or older and an Australian citizen
- The grant must be for what will be your principal residence, (not an investment property or holiday house)
- Your income as an individual must be equal to or less than $125 000 per annum, based on your 2018/2019 taxable income
- Your income as a couple must be equal to or less than $200 000 per annum, based on your 2018/2019 taxable income
- You must enter a building contract between 4 June and 31 December 2020
- Construction must commence on or after 4 June and within three months of the contract date (unless in Victoria - see below FAQs)
Vacant Land
You are able to access the grant for a vacant block if the new home is going to be your principal place of residence. The value of the property must not exceed $750 000. This refers to both the worth of the vacant land as well as the new home that you intend to build and live in.
Renovations or Knockdown Rebuilds
There is also eligibility criteria for those who would like to renovate or do a knockdown rebuild. People undertaking either of these are able to access the grant if the value of the existing home and land is $1.5 million or less. If your new build or renovation is within the allowed price range, $150 000 to $750 000, you are still eligible for the grant.
Accessing the Grant for a Larger Property
For those who want to build on acreage, you cannot access the grant for a new build if the property and existing house exceeds $750 000 in worth. However, if apply for a knockdown rebuild, you could be eligible if the property and residence is not worth more than $1.5 million dollars. As already mentioned, if the knockdown rebuild is between $150 000 and $750 000, you are able to apply for the grant.
Other Frequently Asked Questions
Many people might be wondering if Dependent Person Units or Granny Flats are eligible for HomeBuilder. They are not. The HomeBuilder grant is for renovations that substantially alter an existing dwelling. Stand alone flats do not apply as they are technically not part of the principal dwelling.
If you are concerned about the timeline for HomeBuilder, remember that the contract needs to be signed by 31 December 2020 and the build needs to commence within three months of that date (Note: A three month extension for construction commencement in Victoria has been announced). There is no limit to the amount of HomeBuilder grants that can be given out but, as many people will be keen to access it, it is important to register your application as soon as possible. Swanbuild Homes can only undertake a certain number of projects at a time, therefore we highly recommend that you get in quickly to secure your spot.
If the process for a pending planning/building permit is slowed for whatever reason before construction begins, you may be still eligible for the grant. Applications will be looked at on a case by case basis. It is also good to know that the HomeBuilder grant does not affect your eligibility for other building grants.
Modular Build Benefits
All the benefits of a modular build are even more pertinent when accessing HomeBuilder. The speedy, efficient factory build process means you can be in your home more quickly and to the timeline outlined by the grant. If you are undertaking a knockdown rebuild, you will save a significant amount of time and money. The new house can begin to be built in the factory whilst the existing dwelling is being knocked down. It means that the residents can live in the existing house for longer, which will save them being displaced for as long or paying rent to reside somewhere else for lengthy periods whilst their new home is being built.
Contact Us
The sooner you get started, the sooner you can be in your new home! Contact the sales team at Swanbuild today. We can assist you in securing the HomeBuilder grant and fast track your country ambitions.
