Be quick for $10k gift
HOW long would it take you to save $10,000?
If you are buying or building a new house, you could save ten grand almost instantly after the Queensland only Building Boost was granted an extension.
The grant, which started in August last year and was aimed at bolstering the building industry, was due to run out at the end of this month. But after a last-minute surge in applications, the State Government decided to prolong it until April 30.
Matthew Collins of MBC Constructions said the boost had been good for the building industry but people needed to get in quick to benefit from it.
"Initially it has been a little bit slow to start but there has been a rush in the last month," he said.
"It's certainly a big benefit for new home buyers," he said.
"And it's been really good for people who were going to build already - it gave them more money to spend on their fit-out."
Mr Collins said buyers could purchase a house package in Warwick for about $250,000 with the grant making a substantial dent in the overall cost.
"That's for a four bedroom and ensuite brick veneer," he said.
"Extending it (the grant) will be really good," he said.
Mr Collins said while finding good land to purchase in Warwick was difficult, he encouraged people to make the most of the extension.
Urban Development Institute of Australia CEO Brian Stewart said he was happy about the extension but it wasn't enough.
"While we are certain the building boost has played an important part in generating increased levels of activity across the industry, this improvement has only started to occur in the last couple of months of 2011 and activity levels remain well below the long term average," he said.
"An extension to the boost was a sensible decision that will ensure the delicate industry recovery process continues."
He said a number of changes still needed to be made before the industry could get back on its feet including the removal of stamp duty on off-the-plan sales and removal of land tax on developers land inventory.
Mr Collins agreed in was increasingly difficult for developers to build affordable homes.
"The cost is very hard to pass onto the customer in the end," he said.
"There needs to be flexibility from the State and local government in lowering these taxes to where people can afford to develop."
For more information about the boost head to boost.treasury.qld.gov.au.