After concerted effort by home owners and the broader building industry (including the Institute), the Federal Minister for Housing, Julie Collins announced on Sunday March 26th, that – subject to the agreement of states and territories- the date for HomeBuilder applicants to provide supporting documentation would be extended from 30th April 2023 to 30th June 2025.
The Federal Government has extended the deadline to those with approved HomeBuilder applications – recognising the impact of global supply constraints and construction industry delays that were outside the control of applicants.
The Institute appreciates the members who brought this issue to our attention and engaging with us to seek relief for clients andbuilders impacted. Lead by our Queensland State Manager Anna Svensdotter (and assisted by National Policy and Advocacy Manager Paul Zanatta) the Institute investigated the detail of the issue and commenced discussions with Queensland Treasury on potential means to address the problem.
Homebuilder was available for a new home build, major renovation, or an off-the-plan purchase. Depending on the initial application commencement, the amounts were either $25,000 or $15,000 paid to the property owner(s). The initial justification for the policy was to ensure the property sector was able to continue during Covid lockdowns that threatened major projects.
HomeBuilder required evidence of applicants being registered on the property title along with other evidence of applicants’ income, the building contract, commencement of works and threshold amounts of payment to a builder. The grant though was not paid until the applicant had submitted evidence of completion by the sunset date of April 30, 2023.
Unfortunately, global supply constraints and difficulty engaging approved builders meant many projects undertaken in good faith were not able to be finalised by this date. This left many with potentially funding shortfalls, at a time where interest costs were increasing and house prices cooling off. It also meant builders faced the prospect of some clients being unable to pay for work already committed.
We thank the Minister for listening to the plight of those affected and her compassion in interceding.
You can read the Minister’s full media release through the link below.