In an effort to help support the slowing economy, consumers will get a bit of a break when it comes to buying their first home.
Announced in the new Queensland Government State Budget, starting September 12, new home buyers will be eligible to receive a $15,000 grant for newly built homes and off-the-plan properties worth less than $750,000.
The First Home Owner Construction Grant (FHOCG) replaces the previous First Home Buyer Grant of $7,000 which is still valid until October 11 for the purchase of re-sale properties.
According to government officials, the new grant is aimed at helping to prop up the construction industry.
Treasurer Tim Nicholls says the FHOCG will feed work to Queenslanders.
“The First Home Owner Construction Grant is yet another component of our positive plan for this vital sector of the economy, which creates jobs for Queenslanders,” he said.
Queensland Premier Campbell Newman says that this new grant is the government’s constructive response to the Master Builders Association’s lobbying for changes to the original grant.
“The previous Labour government’s Building Boost scheme was a short-term sugar hit which benefited property investors outside of Queensland,” he said.
Premier Campbell Newman pointed out that the grant will not only encourage new home buying but it will also provide sustainable growth for the construction industry.
“This First Home Owner Construction Grant will provide a targeted and sustainable injection of confidence to the construction sector,” he said.
Market analysts are expecting to see a stronger demand for the FHOCG as the entire home sector shows signs of improvement.
According to recent statistics from the Office of State Revenue, more than 5000 $7,000 First Home Buyer Grants were handed out in the second quarter, an increase from the 4005 grants paid in the second quarter of 2011.
- It must be your first home
- It must become your principal place of residence within one year of taking ownership
- It must be your principle place of residence for at least six months
- You must not dispose of all or part of the property within one year after you start to occupy the residence as your home.
- The property must be bought or built at a value under $750,000
Check this link regularly for any updates on how to apply for this grant.