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$25k home builder grant stimulates demand for new homes

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$25k home builder grant stimulates demand for new homes

Confidence has returned to the property market in a big way, according to new forecasts from Domain.

Domain has forecast house and unit prices to increase in both 2020 and 2021. These forecasts cover Australia as a whole and also the seven biggest capital cities (with Darwin being excluded).

The $25,000 HomeBuilder grant has proved very popular, with new home sales jumping 77.6% from May to June, according to the Housing Industry Association.

To be eligible for HomeBuilder, you must:

  • Be an owner-occupier
  • Earn less than $125,000 for singles and $200,000 for couples
  • Build a new home or substantially renovate an existing home
  • Sign the contract before 31 December 2020
  • Start building within three months of the contract date

(Other conditions apply. Click here for more details.)

But beware of buying a property just to access the grant.

The tight December 31 deadline means you might struggle to get a building contract signed with a reputable builder by the end of the year.

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