- The government has extended the HomeBuilder deadline to June 2025
- This extension is limited to existing, pre-approved applicants who have obtained formal approval for off-the-plan purchases or renovations
- Property Council has welcomed the deadline extension
The government has granted a reprieve to property owners who risked losing the $25,000 HomeBuilder grant due to ongoing construction delays, extending the scheme until June 2025.
The HomeBuilder program was set to conclude on April 30, potentially leaving some eligible applicants unable to submit their final paperwork to secure the grant.
This extension is limited to existing, pre-approved applicants who have obtained formal approval for off-the-plan purchases or renovations.
To qualify for the grant, homeowners were required to provide a practical completion certificate from the developer for an off-the-plan home, spend at least $150,000 on renovations, or make the initial payment to the builder for a new build by April 30.
Government to support property owners
Housing Minister Julie Collins said that the federal government would collaborate with states and territories to ensure that eligible individuals can access the $25,000 grant upon completing their homes.
“Too many Australians stood to miss out on the support they believed they would receive through no fault of their own. This decision will not cost the budget but it will ease the burden on families right across the country who are relying on this grant.”
Delays stemming from the Covid-era, weather disruptions, labour shortages and limited access to building materials have all played a part in prolonging build times for new homes and renovations.
The Master Builders Association (MBA) said build times for new homes had ballooned from 9 months to 12 months in recent years.
Industry welcomes the extension
Property Council Chief Executive Mike Zorbas said extending the deadline for paperwork is the right thing to do.
“The Australian Government is doing the right thing for those HomeBuilder recipients affected by weather and supply constraints around the country. This, and the assistance of state and territory governments, will help approved applicants who are already in the scheme and have relied on it.”
Mr Zorbas said the HomeBulder grant has been an incredibly effective program.
“The new home aspect of HomeBuilder was a remarkably successful job saver and confidence booster during and after the most severe health related lockdowns in more than a century. Retaining the positive promise of a scheme we hope is never needed again, is thoughtful public policy.”
Master Builders Australia has likewise welcomed the decision, with Master Builders CEO Denita Wawn saying:
“The extension allows builders to ensure there’s adequate time to deliver on projects during a time that has seen a perfect storm of pressures in the industry.
“Families rightfully seized the opportunity to enter the home ownership market and it’s only fair that these projects can be followed through to completion,” said Wawn.
Urban Development Institute of Australia’s National President, (UDIA) Maxwell Shifman, said: “Without this decision, ordinary Australians, through no fault of their own, were in danger of losing not only their Homebuilder grant but also their home deposits, which have taken them years to save – putting them in a worse situation than before the pandemic.”
“The impact of this problem cannot be overestimated. The Homebuilder initiative provided up to $25,000 in grants to hardworking Australians to use for new homes and renovations. It was the only way for many Australians to get into homeownership and many housing projects relied on Homebuilder purchasers to satisfy pre-sale requirements for construction loans. The grant failures would have stalled future staged developments.”
“UDIA applauds the Government for listening to the development and construction industry and taking bold steps to prevent a cascade of purchaser defaults. We will work with Government in the coming months to ensure Homebuilder delivers on the promise of homeownership for ordinary Australians,” said Shifman.
