First home buyer grant tripled

Fourteen thousand first home buyers are expected to benefit from the doubling of the first home buyers grant to $14,000. Prime Minister Kevin Rudd announced yesterday that the grant would increase to $14,000 for people who buy a first home before June 30 next year. For first home buyers who sign a contract to purchase a new home and land package the grant will be tripled to $21,000. In June the productivity commission found that the first home owners grant was artificially pushing prices up for existing homes. The stimulus is expected to revive the home building industry. New home approvals fell 3.7 per cent in August and the total number of new homes financed for owner occupiers fell 2.2 per cent to under 50,000 for the first time since 2001.

Source: The Australian