Calls to keep the first home owners grant

by Rachel Seymour 24/04/2009

 First Home Buyer Grant

 THE first home owner's grant may not be slashed in June after all.  When the government increased the grant late last year, the deal was only until 30 June 2009.

Following loud and frequent calls from many areas, the government may agree to extend the boost for longer.

In the May 12 budget the federal government may announce plans to extend the boost.  Yesterday, Kevin Rudd seemed to indicate yesterday that that cut-off point would prevail.

"We should all underline the fact that all good things at some stage come to an end," the Prime Minister said in Perth.

 But then he also talked up the effectiveness of the program, saying 4205 buyers had taken advantage of it in WA alone in just four months.

But it will be renewed in a slightly changed form favouring new construction, sources have told the Herald Sun.

In October last year, the grant to first-time buyers of existing houses was doubled to $14,000, and tripled to $21,000 for those buying new housing stock.

Loans to new home buyers rose 5.6 per cent in January.



Join the discussion on First Home Owners Grant

source: Herald Sun
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