By Melissa Clarke | 11 November 2020
Did you hear the news - on the 20th October WA Premier Mark McGowan announced that the deadline for when construction can begin on new home builds, has been extended by six months to December 31, 2021, giving more people access to the $20,000 WA Building Bonus Grant.
The $20,000 Building Bonus grant is for any Western Australian to build a new house or purchase a property in a single-tier development already under construction.
The grant is not means tested and has no cap on the property value. This grant is on top of the Federal Government’s HomeBuilder Grants as well as the WA’s First Home Owner Grants and first home buyer duty concession.
The grant was originally implemented from 4th June 2020 until 31 December 2020, with construction on the building contract required to commence within the 6 month period. By extending the construction deadline date, it is expected that thousands more people will now be able to sign up to home building contracts and receive the grant.
Mr McGowan said $147 million had already been allocated to the scheme and its extension would cost an additional $65 million.
"It's a big commitment by the State Government towards this program but it is ensuring that billions of dollars of housing constructions is undertaken, tradies are kept employed, businesses keep operating, apprentices (are) being engaged," he said.
The Premier said many builders had closed their books and stopped taking on new clients because of the June commencement date, and the extension would allow them to take on more jobs and create a pipeline of work until 2022.
He said the State Government had also asked the Commonwealth to extend its $25,000 home building and renovation grant, introduced around the same time
Housing Industry Association (HIA WA) executive director Cath Hart said the extension was a "win for consumers, jobs and WA's economic recovery".
"It's a really sensible move that will smooth out the workflow," she said. "The benefit is really around having a much more sustainable pipeline of work. We were looking at having to get all those slabs on the ground really quickly, but what this will mean is that construction activity can extend right into 2022."
According to the HIA, WA new homes sales increased by 211 per cent between May and June this year following the announcement of both federal and state grants.
With this new extension to the WA grant, what better time to find the perfect piece of land. Get in touch with us to find out how we can help you take the next step towards owning your own home.
Contact Paula Sutton, our friendly Estate Sales Manager on 0418 943 193 or paula@spatialproperty.com.au or visit our website www.spiresbaldivis.com.au