There were several key takeaways for homeowners and business owners from the October 25 Federal Budget. Here we summarise what we know:
1 Million New Homes
Under a new national Housing Accord, the federal government will work with states, territories, local governments, investors and the construction industry, with a target of delivering 1 million homes within five years, from mid-2024.
Affordable Housing
The government will provide $350 million over five years to deliver 10,000 affordable dwellings with an energy efficiency rating of 7 stars.
The Accord expands the government’s $10 billion investment to establish the Housing Australia Future Fund. The returns from the fund will be used to build 30,000 new units of social and affordable housing over the next five years.
The 30,000 new homes will be allocated to families affected by domestic violence, older women at risk of homelessness, and frontline workers.
Defence Home Ownership Assistance Scheme
Within this latest budget, the government announced $46.2 million to expand the Defence Home Ownership Assistance Scheme. The scheme supports veterans and Australian Defence Force members to buy homes through monthly mortgage interest payments subsidies.
Incentives for Downsizers
With the demand for housing continuing to rise, it's been announced that more incentives will be created for older Australians to downsize to free up stock for younger families. This will be done by exempting home sale proceeds from pension asset testing and expanding access to downsizer superannuation contributions.
Support for Small Business Owners
In a key outcome from the Federal Budget 2022-2023, the Federal Government announced a commitment to set aside $62.6 million over three years to provide energy efficiency grants to help small and medium-sized enterprises (SMEs). The funding will support studies, planning, equipment and facility upgrade projects that will “improve energy efficiency, reduce emissions or manage power demand.
What applies to you?
If you're interested to know if any of the above applies to your circumstances or if you'd like to know more about what government grants are available, then please reach out to us. We will be pleased to prepare a recommendation based on your circumstances.
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