Looking for information on how to apply for the HomeBuilder Grant? We have put together a guide and list of resources for you to find out if you are eligible & how you can apply for the HomeBuilder grant.
Table of Contents:
HomeBuilder Grant – How To Apply
You will be able to apply for HomeBuilder through your relevant State or Territory revenue office or equivalent authority, once the State or Territory Government that you live in (or plan to live in) signs the National Partnership Agreement.
You should contact your relevant State or Territory revenue office for more information about when and how you will be able to apply for HomeBuilder.
Information on how to apply will be made available when the National Partnership Agreement is finalised. It is expected that, where possible, States and Territories will align the HomeBuilder application processes with existing processes for first home owner grants (or similar). Applicants will be able to apply in relation to eligible contracts that are entered into from 4 June 2020 up to 31 December 2020.
What Is The HomeBuilder Grant?
The federal government has announced a sweeping $680 million HomeBuilder program to stimulate work for trades and construction in the wake of COVID-19. Australians looking to build or renovate in the second half of the year will be able to get $25,000 from the federal government as part of a scheme aiming to keep the construction industry moving.
Who Can Get HomeBuilder?
The $25,000 renovation grant is open to individuals earning up to $125,000, or a combined $200,000 for couples. New homes being built must be worth $750,000 or less, including land, to qualify while renovations must be worth between $150,000 and $750,000.
According to the Australian Government:
To be eligible for the HomeBuilder scheme, you 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 does not exceed $1.5 million.
- Construction must commence within three months of the contract date
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 assist the residential construction market by encouraging the commencement of new home builds and renovations.
Is a HomeBuilder Grant taxed?
No – a HomeBuilder grant will not be taxed. This is consistent with existing state and territory First Home Owner Grant programs.
Is there a limit to how many people can get HomeBuilder?
No. HomeBuilder is an uncapped, time-limited grant.
What documentation will I need to provide?
The State or Territory revenue office will require certain documents to process your application. It is expected that you will need to provide the following 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.
More information on the documentation you will need to provide will become available through the relevant State or Territory authority.
Who pays HomeBuilder and who receives it?
The relevant State or Territory revenue office will distribute the $25,000 grant directly to the applicant.
The Treasury website has further information here: https://treasury.gov.au/coronavirus/homebuilder