If you’re feeling a bit overwhelmed by the news this year, you are not alone. 2020 seems to have already had a decade’s worth of news packed into one half of the year.
And because of that news fatigue, many of us have spent more time avoiding the constant stream of updates and government announcements (or at least looking for more cheerful news). And that’s understandable.
But the Federal Government has been very busy in the last few months. And lost in the mass of announcements about JobKeeper, JobSeeker, JobMaker, border closures, and quarantines is some welcome news for home builders and renovators, the HomeBuilder grant. Because we’re in the kitchen renovation business, we’ve done the hard work of breaking down the package for you, and now share what you might be able to get as a homeowner, and the process of applying for it.
Construction Industry Crunch
It’s no secret that the recent events have hit some industries hard. Closed cafes and cancelled events are obvious examples that we can see all around us. But less obvious are the effects on the building and construction industry.
This industry is one of the largest employers in the country, and while builders and tradespeople are still busy completing current jobs, there was a fear that there was a ‘cliff’ in new work about to emerge as new job bookings dried up.
HomeBuilder is a recently announced scheme by the Federal Government that is designed to help the vital building and construction industry. The other benefit? It also has the potential to help thousands of new home builders and renovators across the country.
What is HomeBuilder and How Much is it?
Good news first. The HomeBuilder scheme is a grants program offered by the Federal Government. A grant means that the money is not taxable (like other income) or repayable (like a loan). It means that once you are deemed eligible and receive the money, it’s yours to spend!
And the amount available is pretty substantial: a whopping $25,000. Also, unlike most housing measures, this grant isn’t just restricted to first home buyers, and it applies equally to freestanding homes, townhouses, apartments and off-the-plan builds.
The Eligibility Criteria
To make sure the money gets to the home builders, owners and renovators that it is supposed to benefit there are some qualifying criteria. To qualify for the $25,000 HomeBuilder grant you have to first satisfy one of the following criteria:
- New Build – you must be building a new home that is worth less than $750,000. The $750,000 can include the value of both the house and the land, or,
- Renovation – spending between $150,000 and $750,000 on a renovation for a home. The value of the home must be less than $1.5 million.
Then there are two other criteria you have to satisfy, regardless of whether you are building a new home or renovating:
- Your income as a single cannot be more than $125,000 or for a couple, no more than $200,000.
- You must also be an Australian citizen of older than 18 years of age.
How to Include a Kitchen or Laundry in HomeBuilder
According to HIA, 60% of Kitchen renovations involve changing the layout and most renovators want their kitchen more open to other spaces in their home. If your kitchen is in a confined space, you will need to use a builder to remove walls to open up the space and even possibly relocate your kitchen. This is where the HomeBuilder grant comes in handy.
First of all, it’s crucial to know that you must enter into the building or renovation contract with your builder between 4 June 2020 and 31 December 2020. The actual construction must also be contracted to start any time within the three months of when the contract is signed.
If you would like to make your budget go further but not compromise on quality, a specialist kitchen designed to exactly your taste by Zesta Kitchens can help you do that. Whether you’re after Hampton’s style or the modern elegance offered by our Qualia or Linea ranges our options can turn your kitchen from good to glorious.
Our kitchens and laundries can be purchased ready for your builder to install and the costs to install it would be included in the quote provided by your builder for the overall build or renovation as part of the requirements for the HomeBuilder Grant. This saves your builder valuable time in sourcing the cabinets and benchtops for your new kitchen, and also ensures that you are able to lock in the result you want well ahead of time! Now that’s a win-win.
For any questions about your new kitchen, any of our options or to simply speak with a friendly staff member to have your questions answered, call us on 1300 190 395 or drop by in person to one of our showrooms located in Cheltenham, Nunawading or Richmond.