The HomeBuilder scheme has been updated with additional information published on 13 August 2020. This article provides a summary of the updated information and a complete overview of the scheme as it now stands.
What are the HomeBuilder updates?
As promised, the HomeBuilder scheme is now available for off-the-plan purchases. The ACT Revenue Office is issuing βletters of comfortβ to some developers, which confirms that particular projects are acknowledged as being eligible for HomeBuilder. If you are thinking of buying off-the-plan, ask your agent or developer to provide a letter from the ACT Revenue Office confirming the eligibility for HomeBuilder!
The eligibility criteria have changed to include new requirements relating to the type of construction contract and when you must be registered on the certificate of title for the property.
The definition of βcoupleβ for the purposes of applying for the HomeBuilder scheme is now defined as two people that are:
The update also adds to the eligibility criteria:
If you are a member of the permanent forces of the Australian Defence Force and enrolled on the ACT electoral roll at the date of the contract, you will be exempt from the residency requirements, subject to providing supporting documentation.
The HomeBuilder Grant of $25,000 assists owner-occupiers in building a new home, substantially renovating or buying an off the plan home. The home must not have been previously sold or occupied as a place of residence before.
HomeBuilder is available:
Note: if you have entered into a new contract on or after 4 June 2020 that replaces a prior contract to build the same home/renovation, you may not be eligible. If you are unsure, feel free to contact us for clarification relating to your specific contract.
You are eligible if:
The HomeBuilder scheme cannot be claimed for small scale works and repairs. It is designed to assist in the build of a new home and in substantial renovations in certain situations.
If youβre building:
If youβre renovating:
If you demolish your house on the land that you own and decide to rebuild, this will be treated as a substantial renovation. Renovations need to improve the accessibility, safety or liveability of the property but need not include the removal of foundations, external walls, interior supporting walls or floors.
Building a new granny-flat, swimming pool, tennis court or any structure that is not connected to the primary house, such as a shed or garage will not be considered a βsubstantial renovationβ.
If youβre buying off the plan:
The building service completing the construction must be licenced in the ACT. Owner-builders are not eligible for the grant.
The maximum extension permitted for any delays to commence construction that fall within three months of the contract date is 3 months. These delays must be due to factors outside the control of both parties.
Requests for extension are to be lodged with the Commissioner of ACT Revenue with supporting evidence for the delay. Construction is considered to have commenced if substantial earthworks, excavations, demolition and physical building work has occurred. Site clearing, fencing, markings and product delivery will not be sufficient as commencement of construction.
Register with the ACT Revenue Office before the 31 December 2020. Note registration does not necessarily mean you will be eligible for the grant.
Click here for Part A of the online process
Once you have registered you will need to complete Part B, a comprehensive form which requires detailed information about you, your builder the construction and supporting documentation. This must be submitted by 31 October 2022.
Click here for Part B of the online process
Weβre seeing a lot of activity in the property market as the result of this and other stimulus measures. If youβre thinking about buying property , click here to start your property journey!