SA rushes to get its hands on $25K HomeBuilder grants, as more than 7000 register interest
SA’s housing and construction industry is firing back up, as more than 7000 South Australians rush to get their hands on $25,000 cash grants. Here’s what you need to know about getting in on the action.
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More than 7000 South Australians have rushed to get a new $25,000 stimulus grant for building a new home, sparking hope of a construction jobs turnaround.
The Federal Government’s HomeBuilder scheme was announced last month, amid dire warnings of an industry collapse as worried Australians shut their wallets during lockdown.
State Government figures released to The Advertiser show that 7301 people in SA have registered interest for the grant.
First home buyers can also get an extra $15,000 on top.
The industry says the scheme has already helped create 700 SA jobs in one month alone.
To be eligible for the cash, individuals must earn less than $125,000, or couples $200,000.
A contract must be signed this year, and the fund is also available to fund large renovations.
Even before COVID hit, the SA residential construction sector was reeling from the collapse of a string of well-known local companies including Coast to Coast Homes.
Master Builders SA director policy and communications Will Frogley said there had been a dramatic turnaround in the industry confidence since the HomeBuilder scheme launched.
“It’s fantastic to see residential building leading SA’s economic recovery,” he said.
“HomeBuilder is doing exactly what it was intended to do, creating jobs and economic growth whilst helping more South Australians live the great Australian dream of home ownership.
“Display homes are buzzing, there has been a massive increase in contracts signed.”
Mr Frogley said low interest rates also sweetened the deal for potential builders.
SA Treasurer Rob Lucas said not all expressions of interest would ultimately be found to be eligible, but the rush of interest in the grant gave hope of a local jobs rebound.
He said early estimates had been that only 2000 SA grants would be awarded, and the total number of registrations of interest had already reached almost four times that.
Mr Lucas said the State Government had also received assurances that there would be flexibility in the scheme to ensure that people weren’t cut out by bureaucracy.
That includes leeway over the exact dates of construction starting, and how it was defined.
“State officers are continuing to work with the Commonwealth in terms of trying to get the greatest degree of flexibility in terms of this HomeBuilder scheme, so that we can see the maximum value for the housing construction industry here in SA,” Mr Lucas said.
SA Opposition treasury spokesman Stephen Mullighan said strong interest in the scheme showed there was potential for further stimulus to unlock even more construction jobs.
He said limited federal funding could result in some South Australians missing out on HomeBuilder, and cutting stamp duty for first home buyers could provide extra work.
“There is likely to be demand for South Australians to take advantage of housing and home renovation incentives,” he said.
“The State Government should stump up some money to assist the housing construction industry, which has been struggling even before coronavirus.”
The Government has announced $1 billion will go to state-based stimulus.
Of that, $840 million has been allocated to projects and $160 million is in reserve.
Adelaide mother Erin Christopher said the HomeBuilder grant tipped the balance in her decision to commit to building a new home in Daw Park, rather than delay.
“We have just recently signed up,” she said. “We probably would have waited a bit, I’m pregnant with our second child and going on maternity leave.
“The grant came up, so we thought we’d take the opportunity.”