HomeBuilder

At Blue Key Finance, we like to keep our clients efficiently informed, consistently, and to ensure that all our articles comprehensively cover everything in layman’s terms around the topic at hand.

HomeBuilder will provide eligible owner occupiers (including first home buyers) with a grant of $25,000 to build a new home or substantially renovate an existing home where the contract is signed between June 4 2020 and December 31st 2020. Construction must commence within three months of the contract date.

HomeBuilder is available on top of current State and Federal Government initiatives.

Eligibility

To access HomeBuilder, owner occupiers (not available for investment properties or to owner-builders) must meet the following eligibility criteria:

• You are a person (not a company or trust)
• You are above the age of 18
• You are an Australian Citizen (not available for permanent residents)
• You meet one of the following two income caps:

– As an individual you earned less than $125,000 based on your 2018/19 tax return or later

– As a couple you earned less than $200,000 based on your 2018/19 tax return or later

• You enter into a building contract between June 4 2020 and December 31st 2020 to either:

– build a new home as your principle place of residence, whereby the ‘house and land’ is valued at less than $750,000; or

– Substantially renovate your existing principle place of residence for a contract price between $150,000 and $750,000, whereby the value of your existing home (prior to this renovation) is less than $1,500,000. The renovation works must be to improve the accessibility, safety and livability of your home. It cannot be for additions to your home such as swimming pools, tennis courts, outdoor spas and saunas, sheds or garages (unconnected to your home).

• Construction must commence within three months of the contract date

FAQs

I already own land but haven’t signed a contract to build a new house – am I still eligible?

Yes, if you meet the following criteria:

• If you own a property (house and land), and knock the house down to rebuild – this will be counted as a substantial renovation, and therefore subject to the renovation price range of $150,000 to $750,000 provided the total value (house and land) of the property does not exceed $1,500,000 prior to this renovation;
• If you own vacant land before June 4 2020, and then build, the total value of the land and new build cannot exceed $750,000; or
• If you buy the land after June 4 2020, and then build, the total value of the land and build cannot exceed $750,000.

How do I apply and what documentation will I need?

You will be able to apply for HomeBuilder through your State Revenue Office (SRO) – www.sro.vic.gov.au with grants being distributed by your SRO directly to your nominated bank account.

Your State Revenue Office will require certain documents to process your application, at a minimum:

• proof of identity;
• A copy of the contract dated and signed by you and the nominated registered or licenced builder;
• a copy of the builder’s registration or licence (depending on the State you live in)
• a copy of your 2018/19 tax return (or later) to demonstrate your eligibility against the income cap; and
• documents such as council approvals, building contracts or occupation certificates and evidence of land value.