Boost extension to safeguard jobs

Wednesday, 13 May 2009

The continuation of the First Home Owner Boost (FHOB) will help to protect Queensland jobs over the next six months, according to the Real Estate Institute of Queensland (REIQ).

"The majority of Queenslanders who have entered the market since the FHOB was introduced in October last year have opted to buy an existing home and, by doing so, have safeguarded jobs in the property sector as well as in industries as diverse as retail and banking to solicitors and the building trades," REIQ managing director Dan Molloy said.

"The REIQ urged the Federal Government earlier this year to recognise that the purchase of existing homes was also a positive for our economy, so it is very pleasing that this advice has been heeded."

The FHOB extension will also help first home buyers to carefully plan for the biggest financial commitment of their lives.

"Job security has to be the number one consideration for anyone contemplating buying their first home. And given the current generationally low interest rates, first home buyers also need to assess how their finances will hold up should interest rates rise," Mr Molloy said.

The FHOB grants are in addition to the existing $7,000 grant under the First Home Owners Scheme, which will continue to be available next year.

This means first home buyers entering into contracts between now and 30 September this year will receive the standard $7,000 grant, as well as an additional boost payment of $7,000 for established homes, or an additional $14,000 for new homes.

Between 1 October and 31 December, the additional boost amount - on top of the standard $7,000 grant - will be $3,500 for established homes or $7,000 for new homes.