The Albanese government has announced the deadline for existing HomeBuilder applicants has been officially extended.
The federal government has successfully negotiated a revised National Partnership Agreement (NPA), which was signed off by all states and territories, to extend the deadline for HomeBuilder applicants to submit supporting documentation to 30 June 2025.
The extension has been made available for all applicants, including those with contracts for off-the-plan purchases, new builds and renovations. Access for the extension will be automatically applied to all applicants.
The Albanese government first confirmed that it would be working towards extending these deadlines in March 2023 before the initial deadline of 30 April 2023.
It aimed to support existing and already approved applicants who entered into financial commitments on the basis that they would receive the grant but were affected by supply constraints and construction industry delays through no fault of their own.
The former Morrison government originally announced the $688 million HomeBuilder package, which was a $25,000 grant made available to owner-occupiers “substantially renovating” or building a new home from 4 June to 31 December 2020.
A national price cap of $750,000 was set for new home builds, along with a renovation price range of $150,000 to $750,000 applied to renovating an existing home valued at no more than $1.5 million.
The stimulus was designed to “breathe life” into the residential property market after facing a prolonged downturn in the wake of the COVID-19 pandemic. Applications for the HomeBuilder scheme closed in April 2021.
However, since then, the average time frame for off-the-plan units has grown to more than two years, which has led to lengthy delays.
This could have resulted in thousands of applicants who purchased off-the-plan apartments missing out on the government support that was expected, according to Minister for Housing Julie Collins.
Ms Collins extended her thanks to the states and territories for their support of the extension and revised NPA.
“The extension ensures existing applicants don’t miss out due to factors outside of their control. This draws a line under the former government’s mismanaged HomeBuilder program.
“A perfect storm has led to a blowout in construction time frames right across the country.
“This perfect storm includes the former government’s mismanagement of HomeBuilder itself.
“Existing applicants affected by these challenges will now be able to meet the requirements of the grant,” Minister Collins stated.
Article source: www.smartpropertyinvestment.com.au