Renovations the bane of HomeBuilder plan

Press/Media: Expert Comment

Description

HomeBuilder will kick-start existing works that have been halted, but it is unlikely to result in new works (‘‘HomeBuilder could push house prices down’’, June 4).
Since a significant share of home improvements are typically funded by debt, failure to complete projects exposes banks to additional risk with homes not approved to be occupied.
It would have been a better economic stimulus if the $25,000 handout, instead of being aimed at renovations, was directed to building new homes, or reducing stamp duty or other transaction costs.

Period9 Jun 2020

Media contributions

1

Media contributions

  • TitleRenovations the bane of HomeBuilder plan
    Media name/outletAustralian Financial Review
    CountryAustralia
    Date9/06/20
    DescriptionHomeBuilder will kick-start existing works that have been halted, but it is unlikely to result in new works (‘‘HomeBuilder could push house prices down’’, June 4).
    Since a significant share of home improvements are typically funded by debt, failure to complete projects exposes banks to additional risk with homes not approved to be occupied.
    It would have been a better economic stimulus if the $25,000 handout, instead of being aimed at renovations, was directed to building new homes, or reducing stamp duty or other transaction costs.
    URLhttps://www.afr.com/politics/federal/letters-opportunities-in-the-china-turn-off-20200609-p5510l
    PersonsVito Mollica