Apply for HomeBuilder Grant

What is the HomeBuilder Grant?

The HomeBuilder Grant is a tax free lump sum of $25,000, which the Federal Government provides to eligible owner-occupiers, including First Home Buyers.

The grant can be used for:

  1. The construction of a new home, or
  2. The renovation of an existing home

The Federal Government provides the Post-Covid-19 Australian Residential Construction Market a boost with the grant and since 4 June to date, over 35,000 expressions of interest were received via their website.

Contact us and find out whether you qualify.

HomeBuilder Grant FAQ

The construction cost of a home is max $750,000 and the renovation cost must be between $150,000 and $750,000, plus, the property to be renovated must be valued at $1.5 million or less, before renovation.

The max annual income for a single is $125,000.
The max combined annual income for a couple is $200,000.

Please note: these income figures are the same for FY19, FY20 as well as FY21,

This grant is solely for Citizens and therefore excludes Permanent Residents and Temporary Residents.

Any eligible building contract must be signed between 4 June 2020 and 31 December 2020.

Yes, because construction must start within 3 months of countersigned contract.

There is no black and white answer to this yet and in theory it is not prohibited. However, whether the lenders are willing to accept it as deposit in the finance transaction is the million dollar.
We can’t see the major lenders join the party here, but in our experience, there usually is a lender willing to be the unicorn.
Contact Us to find out.

For land and construction or a new build, the HomeBuilder grant will be paid at slab stage.

For renovations, the HomeBuilder grant will be paid after $150,000 has been spent.

Lastly, for off the plan, the grant is likely to be paid on the moment purchase settlement occurs when construction has completed.

Unfortunately not because the building contract must be countersigned by a registered/licensed builder. This therefore leaves out Owner-Builders.

Unfortunately not given that the grant is solely for Owner Occupiers.

Yes. HomeBuilder is available for any home owner and that includes First Home Buyers.

how to get first home loan

How do I apply for the HomeBuilder Grant?

The HomeBuilder grant will be implemented via a National Partnership Agreement, which is signed by the Commonwealth and state and territory governments. Therefore, you can apply for the grant with the state or territory that you live in or plan to live in once the agreement is signed.

At this stage VIC, QLD and NSW are yet to sign and when there is movement here, we will post updates on this site accordingly.

What documents do I need to provide?

You need the following documents when applying for the HomeBuilder grant:

Copy of contract that is signed and dated by you and the registered or licensed builder.

Proof of identity

Copy of builder’s registration or licence.

Copy of your tax return for FY19 or later to demonstrate max income eligibility.

Other documents like council approvals, building contracts, evidence of land value.

What dwellings are eligible for HomeBuilder?

The following dwelling types are acceptable when the applicant meets the eligibility criteria:

  • House and land package
  • Off the plan apartment or townhouse
  • Building on vacant land
  • Pre-fabricated houses are also acceptable for HomeBuilder if the construction is undertaken by a licensed builder and meets all the other eligibility requirements.

If you’re renovating your property, it must improve the accessibility, livability and safety of the property. Therefore, renovations such as swimming pools, tennis courts, de-attached sheds, etc. are not acceptable.

Can HomeBuilder be combined with other state grants?

Yes, the Homebuilder Grant can be combined with other state grants such as the First Home Loan Deposit Scheme as well as the First Home Owners Grant.

OK, I’m about ready to get cracking, any tips and tricks?

Most definitely:

  1. Make sure you act fast and don’t wait too long. There are builders and tradesmen that increase their prices once they get busy (supply and demand).
  2. When selecting your builder, ensure you get an idea of their pipeline and judge whether they will be able to start on time or not.
    Speak to us for guidance.
  3. Builders often get their supplies from overseas, ensure you speak to them about where their supplies are coming from, because this assists in minimising delays due to Covid-19.
  4. Consider a builder that sources locally manufactured materials.
  5. Get multiple quotes and ensure the builders are aware of it, to minimise the risk of paying more than you should (and the builders pocketing your grant).
    We’re here to guide you through this.
    Request your free phone consultation here.
HomeBuilder Grant

My building contract is signed prior to 4 June, can I cancel it and sign a new contract?

If your contract date shows 3 June 2020 or prior, you will not be eligible for the grant.
You could terminate the contract and sign a new building contract between 4 June to 31 December 2020, however, please consider the following first:

  • If your finance is ready to go, you will have to go through the approval process again with the new contract.
  • There is uncertainty on whether the new contract will be accepted by the state and territory offices of revenue as they have yet to finalise the details on its operation and implementation.
  • Each state and territory have their own guidelines regarding terminating a building contract.
  • There could be issues with your warranty insurance once you terminate your building contract.
Before you do anything:

Speak to your builder before you make the decision to terminate and sign a new contract in order to be eligible for the HomeBuilder grant.

We are always here to help, reach out to us and we’ll talk you through it all.

Can I refinance my loan to finance renovating or building?

Yes, if you have sufficient equity in your property then you can refinance and we could get you on a lower interest rate while we’re at it. Additional benefit is that you likely won’t have to come up with a deposit yourself.

Can I access my redraw facility and/or my offset account to finance the construction?

Yes, you can access both your redraw and funds in your offset account to finance the construction or renovation.


What if I’m not eligible for the HomeBuilder grant?

First home buyers can still apply for the First Home Owners Grant, First Home Loan Deposit Scheme and/or stamp Duty exemptions or concessions.

Even if you don’t qualify for the HomeBuilder grant, we have plenty of lenders on our panel that can help you get a renovation loan or a construction loan.

We are experts in all types of construction loans, including home loans to renovate an existing home so reach out, we’d love to guide you through your project from start to finish and start by assessing your options and discuss those with you.

Schedule your free phone consultation with one of our Finance Experts.