Tag: new home

WA new home sales up 91% 

By Melissa Clarke | 1 October 2020 

According to the Housing Industry Association (HIA), Western Australia is leading the country in new home sales, up 91.1% in the first half of this year. 

The HIA’s latest New Home Sales report found WA’s new home sales figures had increased more than anywhere else in Australia over the past three months, as well as over the past six months. 

“The latest data shows a 175 per cent increase in WA’s new home sales over the three months since HomeBuilder and the Building Bonus were announced in early June,” HIA WA executive director Cath Hart said. 

“WA saw an initial spike of 211 per cent in new home sales in June which moderated in July to 17 per cent, before increasing by 11.4 per cent in August.” 

While the surge in new homes was welcomed by industry, Ms Hart said she was concerned consumers could miss out on their grants. 

“We’re going from an historic low to an historic high, and the grants require builders to commence work on-site quickly despite challenges in terms of titled land and labour,” Ms Hart said. 

“This spike of more than 175 per cent compared to the previous quarter has created challenges in securing titled land and labour given both building schemes were launched when WA was at a 20-year low in sales activity” 

The industry is now calling for the Government to extend timeframes to allow for land developers to be given until 30 June 2021 to title lots, as well as giving builders six months to commence after lots are titled. 

This is an important longer-term view ensuring a stable and sustainable pipeline of activity, plus the right mix of skills to deliver, as the state’s home building industry will eventually transition back to normalised averages. 

Government grants are still available to help buyers get into the market, with up to $69,440 available to those that qualify.  First Home Owner Grants of $10,000, the Federal Home Builder Grant of $25,000, Western Australian Building Bonus Grant of $20,000 as well as state Off-the-plan Duty Rebates.   

With this kind of assistance available, why wouldn’t you consider building your dream home? 

Touch base with us today to find out how we can help you take the next step towards owning your own home. 

Contact Andrew Mackenzie, our friendly Estate Sales Manager on 0419 904 790 or andrew@spatialproperty.com.au or visit our website www.spatialproperty.com.au

2 year high for new build lending

By Melissa Clarke | 15 September 2020

According to the Housing Industry Association (HIA) the number of loans to owner-occupiers for the purchase of residential land in WA increased 110% between July 2019 and July 2020.

These housing finance figures reveal lending across Australia for construction of a new home reaching the highest level recorded in 2 years, with finance approvals for the purchase of a block of land now 69.9% higher than in the same month last year.

HIA chief economist Tim Reardon said there had been a tangible improvement in sentiment and confidence in the housing market.

“Most significant, today ’s data shows that there has been a 30 per cent increase in the number of loans issued for the purchase of residential land for the second month in a row,” Mr Reardon said.

“This is the first indication of the impact of HomeBuilder. One of the early decision making stages of building a new home is the purchase of a suitable block of land.”

“The surge in land sales should see a recovery in the number of slabs being poured as early as the December quarter, as customers proceed through the process to design and construct a new home. This will protect employment in the residential building industry and across the economy into 2021.”

But with this surge in lending, there is a huge demand on available land to begin building before the end of the HomeBuilder grant in December 2020. The building and construction industry is calling on the federal government to extend its HomeBuilder grants program for another year to help the sector through the impact of the coronavirus.

Master Builders Australia (MBA) claims the scheme announced in June has been “the most effective government stimulus measure in a decade”.

MBA Chief Executive Denita Warn added “HomeBuilder should be extended for 12 months in the federal budget to help maintain a pipeline of work and be a lifeline for builders and tradies.”

“Our latest forecasts estimate that HomeBuilder is likely to boost new home building commencements by almost 10,000 during 2020-21” she said.

With this in mind, if you are ready to create the home of your dreams, there is no time to waste.

Touch base with us today to find out how we can help you take the next step towards owning your own home.

Contact Andrew Mackenzie, our friendly Estate Sales Manager on 0419 904 790 or andrew@spatialproperty.com.au or visit our website www.spatialproperty.com.au

 

Perth Market holding strong

By Melissa Clarke | 7 August 2020

Recent world news, COVID and other world events, can leave us feeling glum, but the good news is that the Perth market is holding strong and providing fantastic opportunities for new home buyers.

Urban Development Institute of Australia WA (UDIA WA) conducts extensive surveys of the major land developers in Perth to create land market data.  Their recent surveys found Perth achieved 3,322 new lot sales during the June 2020 quarter, the highest quarterly land sales on record since the institute started recording in the 1990’s.

UDIA WA chief executive Tanya Steinbeck said that “while demand has surged, average prices for new land have remained relatively steady at $226,400. Comparative to other capital cities in Australia, Perth remains an affordable and stable option for those looking to enter the market.”

UDIA WA’s survey found there were approximately 7,500 new lots either on the market or under construction, which is good news for buyers, given there has been an influx on demand for properties.

“The good news is there is still a decent level of supply either on the market or under construction to meet continued demand.” Ms Steinbeck said.

Now is the time to buy, with Government grants available to help home buyers get into the market, with up to $69,440 available to those that qualify.  First Home Owner Grants of $10,000, the Federal Home Builder Grant of $25,000, Western Australian Building Bonus Grant of $20,000 as well as state Off-the-plan Duty Rebates.

With this kind of assistance available, why wouldn’t you consider building your dream home?

Touch base with us today to find out how we can help you take the next step towards owning your own home.

Contact Andrew Mackenzie, our friendly Estate Sales Manager on 0419 904 790 or andrew@spatialproperty.com.au or visit our website www.spatialproperty.com.au

 

 

$20,000 Building Bonus Grants for contracts signed before December 2020

By Melissa Clarke | 10 July 2020

I’ve been hearing about this $20,000 Building Bonus Grant on offer until December 2020, and decided to find out the facts, because if you’re anything like me, $20K sounds like a great deal!

Back in early June, Premier Mark McGowan, announced that in an effort to support and maintain our building and construction industry throughout the economic challenges of the COVID-19 pandemic, the WA Government would be introducing “$20,000 Building Bonus grants for any Western Australia to build a new house or purchase a property in a single-tier development already under construction”.

“The grants will not be means tested and have no cap on the property value.  This grant is on top of the Federal Government’s HomeBuilder Grants as well as the WA’s First Home Owner Grants and first home buyer duty concession.”

What does this mean, well if you are a person who qualifies for all four grants, you could access up to $69,440 in Government assistance to help you build your dream first home!

These grants are being implemented for contracts signed between 4 June 2020 and 31 December 2020.  The hope is that by doing this, the Government will help get as many new projects off the ground and will help keep as many WA jobs intact as possible.

Construction on the building contract must start within the 6 months, which is different from the Federal Government HomeBuilder Grant which requires construction to start within 3 months.

You can even access this grant when you sign a building contract on a property you already own.

The grants and rebate schemes are available for owner-occupiers and investors, Australian-citizens and foreign persons, and natural persons, corporations and trustees.  You do not need to be living in WA to access the grant.

When can you apply for this grant?

For a new home on vacant land (new detached dwelling) – apply when construction has started (foundations complete).

For new single-tiered dwellings such as villas and townhouses – apply when you are the owner of the property (registered on the certificate of title)

What properties are eligible for the grant?

  • New detached homes constructed under a building contract
  • New relocatable homes
  • New homes constructed by an owner-builder
  • New single-tiered homes on strata plans such as villas and townhouses. For more information about these types of properties, see section 3(1) of the Strata Titles Act 1985
  • New single-tiered homes on other land survey types.

What properties DON’T qualify for the grant?

  • Properties in multi-tiered developments such as an apartment tower. These properties may qualify for an off-the-plan duty rebate.
  • Mixed-use and commercial property
  • Short stay accommodation
  • New constructions where there is already a home on the land, for example, adding a granny flat to the backyard of the person’s home
  • Refurbished property and developments, including where the original property is extended or renovated. Substantial renovations may qualify for the Commonwealth Government’s HomeBuilder scheme.
  • A building contract or contract for the purchase of property that the Commissioner is satisfied was cancelled to allow a new contract to be made for the purpose of qualifying for the grant
  • Completed dwellings (existing stock) held by the developer or another person

Now you’re armed with all the facts, why not get in touch with us to find out how we can help you take the next step towards owning your own home.

Contact Andrew Mackenzie, our friendly Estate Sales Manager on 0419 904 790 or andrew@spatialproperty.com.au or visit our website www.spatialproperty.com.au