The $688m HomeBuilder scheme seems like a boost for homeowners — but it comes with serious caveats

Abstract

The Morrison Government is handing $25,000 cash grants to people to renovate their properties or build new homes under a new HomeBuilder scheme.

The scheme is designed to stimulate activity in the construction sector — one of the biggest employers in the country — but it comes with serious caveats.

The scheme cannot be used by anyone who’d just like to build a new patio, pool, tennis court or cheaply renovate their bathroom or kitchen.

Instead, to receive a $25,000 taxpayer-funded grant, you’ll need to use the money to build a new home (which can’t be worth more than $750,000, including land, on completion) or make expensive renovations to your existing home worth between a minimum $150,000 and a maximum $750,000.

And to qualify, you can’t be earning more than $125,000 a year as an individual or $200,000 as a couple.