 Boost to grant winds down
The number of people taking up the Federal Government's first home owners grant is shrinking, as the grant is rolled back gradually to the original figure.
June saw the home owners grant take-up peaking at at 20,389 but just last month it fell to 18,939.
Labor released figures showing that between the boost announcement last October, and July of this year, more than 137,000 people had taken up the grant.
Housing Minister Tanya Plibersek said the grant's positive impact on the economy was evident in new Australian Bureau of Statistics (ABS) housing finance data.
"The first home owners boost, combined with lower interest rates, has attracted tens of thousands of first home buyers into the market," Ms Plibersek said. "A strong housing market is critical for underpinning confidence and supporting jobs in the Australian economy as we battle the worst global recession in 75 years."
The government used it's first stimulus package to increase the grant. The grant doubled to $14,000 for established homes and trebled to $21,000 for new properties.
However, not all good things can last and on September 30 it will be reduced to $10,500 for established homes and $14,000 for new homes until December 31, before returning to its original $7,000 next year.
The grant appears to have done it's job, allowing more Australian's to buy their first home.
First home buyers made up 27.1 per cent of all new loans for owner occupation in June, one of the highest levels since the ABS started collecting this data in 1991.
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