The residential construction industry in Queensland has received a significant boost as the state announces a three month extension to the a grant for the purchase of newly constructed homes.
In a ministerial announcement, Deputy Premier and Treasurer Andrew Fraser says the $10,000 Queensland Building Boost, originally slated to finish on January 31, will now be extended to April 30.
Fraser says the extension follows requests from the industry.
“Industry has come to me asking for an extension to the Boost and that’s what we’ll provide” Fraser says.
“They’ve said to me, and the recent application numbers show, that the Boost is increasingly gaining traction with potential buyers.”
Image Source: qld.gov.au
The Queensland government grant, which is in addition to the $7,000 new home owners receive under the first home owners grant at a federal level, applies to all home purchasers buying or building a new home worth less than $600,000. So far, over 3,700 applications have been received since the inception of the grant in August last year.
By giving developers an extra three months to market the grant, Fraser says, the new extension will give the state’s housing industry ‘the kick start it needs’.
He says the move comes amid increasing signs of an uptick in residential construction, with Queensland being the only state to have registered consecutive monthly increases in the four months to November and approvals data showing good growth for houses.
“I expect that momentum to swing through December and January and into the next few months as well” he says.
Fraser stresses that the extension is not about ‘churn’ in the industry, but is aimed at boosting housing stock, creating residential construction jobs and improving housing affordability in the long term.
“More new homes means more work for builders, more work for labourers, more work for other workers in the construction sector – even more work for spin-off sectors like retail”.
