The McGowan Government will give more Western Australians the opportunity to access the highly successful Building Bonus program, by giving homebuilders more time to commence site works to qualify for the $20,000 grant.
The extension of the construction period will ensure the pipeline of construction work generated as a result of the program will continue through to 2022, creating hundreds of additional jobs.
The Building Bonus grants are available to any homebuyer who signs a contract by December 31, 2020 to build a new house or purchase a new property in a single-tier development (such as a townhouse) prior to completion of construction.
Under the existing arrangements, site excavation works to build a new home must start within six months of contracts being signed in order to be eligible for the grant.
Due to the high demand for the grants, industry and homebuyers have expressed concerns that six months is not enough time to commence construction, given the demand for construction work off the back of the Building Bonus.
The McGowan Government will now give homebuyers who wish to build a new home a period of one year from the time their contract is signed to commence construction.
The $147 million Building Bonus program was introduced in June 2020.
As stated by Premier Mark McGowan:
“From today, more Western Australians will now have the chance to access a $20,000 grant to build their own home, creating hundreds more WA jobs.
“Reports from the building industry confirm the grants have been a crucial driver of jobs and activity, and the industry is now thriving as a result.
“This extension of the construction period will allow that work to continue, creating a pipeline of construction work that will continue all the way through to 2022, providing certainty to the whole industry.
“The Building Bonus is an important part of the $5.5 billion WA Recovery Plan, creating jobs for Western Australians and stimulating the local economy.
“The program has been an overwhelming success, with many Western Australians taking the opportunity to access the $20,000 grant to assist them to build their own home.”
As stated by Treasurer Ben Wyatt:
“The Building Bonus has been so successful and created so much activity in the building industry that six months is simply not long enough for many people to commence building their new home.
“We’ve closely monitored the progress of the program and this adjustment will give many potential homebuilders additional time to ensure they can access the grant.
“It will ensure all of the jobs created as a result of this important stimulus measure will continue through to 2022, delivering a major boost to the economy.
“The State Budget released earlier this month included a record $27.1 billion investment in infrastructure over the next four years which will continue to support WA’s economic recovery and create a pipeline of jobs.
“The extension of the construction period will allow Western Australians to work on more projects in both the civil and residential construction sectors over the coming years.
“The extension takes the total investment by WA taxpayers to support the housing sector to more than $1.6 billion in this term of government.”