According to data recently released by the Australian Bureau of Statistics (ABS), COVID-19 restrictions resulted in a 16.4% fall in building approvals across the nation in May.
While this is not positive news for the construction industry, for many people who have been planning on building their dream home, this could be perfect timing. These lower building approval rates means that there are plenty of builders out there with time on their hands to start making your dream home a reality. So, why not take advantage of these reduced waiting periods?
Government Grants and Incentives
On top of the low building approval rates, the Government is also offering several grants and schemes that will help to make your building project more tenable. As such, there’s no better time than the present to get started on the building project you’ve been saving up for.
For example, the HomeBuilder scheme is able to provide eligible owner-occupiers with a grant of $25,000 to build a new dwelling or substantially renovate a pre-existing one. This scheme, for which first home buyers are eligible, helps substantially to subsidise the costs associated with building a new home or renovating one.
The recently announced refinements to the HomeBuilder scheme (including additional time for home buyers to organise the necessary finance and building approvals) makes it even more attractive and beneficial for those who are eligible to make their dream builds and renovations to come true.
Additionally, first time home buyers may also be eligible for the Government’s First Home Loan Deposit Scheme. This Scheme enables eligible applicants to pay just a 5% deposit on a property, while the Government provides banks with a guarantee of up to 15% of the property’s value. This scheme is available for building a new home, and purchasing an already-existing property.
The combination of low building approval rates and the myriad Government schemes and grants that are available makes now an ideal time to begin your new building project. It also means that your dream builder or contractors – who might otherwise be incredibly busy and hard to pin down for a job – will have the availability to help make your dream home a reality. It also means that you might not have to wait as long for your project to begin as the low approval rates allows for expedited approvals.
Ultimately, while the building industry has undoubtedly been affected by the coronavirus pandemic, various Government initiatives are projected to help the industry immensely while also helping home builders to get a leg up.