The latest Federal Budget was handed down in May, and some of the decisions may impact homeowners around the Northern Beaches, North Narrabeen, Narrabeen, Elanora Heights, Ingleside and Warriewood.
There are three major real estate-related changes that you need to be aware of, so read on to find out what you need to know.
Increased migration
The budget came in with a $4.2 billion surplus this year, and one of the most significant reasons for this is believed to be migration.
With statistics showing net overseas migration of 400,000 in 2022/23 and 315,000 in 2023/24, migrants look set to continue driving a good portion of the economy.
Of the 190,000 places allocated by the government for the 2023/24 permanent Migration Program, around 137,100 of them will be allocated to skilled workers. This means that many of the migrants coming to the country will have the funds to buy a home.
This means that there will be more and more buyers in the country looking for homes, keeping prices competitive. If you are planning to sell, now is an excellent time to do so while demand is high and stock remains low.
The Home Guarantee Scheme has been expanded
From good news for those selling a home to good news for those buying one.
With this year’s budget, the federal government has expanded the First Home Guarantee Scheme, where the government acts as guarantor on up to 15 percent of a loan.
In the past, only singles, married couples, or couples in a de-facto relationship were eligible for this scheme. But this year it will be expanded to include friends, siblings and other family members. You may even be eligible for the scheme if this isn’t your first home, as long as you haven’t owned an Australian property in the past 10 years.
If you’re a parent hoping to help your kids get on the housing ladder, this may be a great opportunity for siblings to pool their funds and borrowing power and buy a home together.
Loans for energy-saving upgrades are now on offer
The government is bringing in new incentives to help Aussie households to go green.
They have allocated a healthy $1 billion towards this initiative that will allow homeowners to make their homes more energy efficient with low-cost loans for double glazing, solar panels and other improvements.
Improving your home’s energy efficiency can benefit you in multiple ways. Firstly, lower power bills at a time when energy prices are skyrocketing are nothing if not a win. Secondly, a more energy-efficient home is an excellent selling point if you are planning on putting your home on the market any time soon. Everyone is looking to save money, and a property that is both environmentally and financially friendly is very tempting when Aussies are hunting for a home.
You can learn more about potential energy incentives at the NSW Climate and Energy Action website.
Meanwhile…
Property prices on the Northern Beaches are holding very strong. There is limited stock on the market and plenty of interest from buyers. Homes are being snapped up relatively quickly and while things were stagnant over the last year, PropTrack has now revealed figures could be on track for a new peak within six months.
It seems that even with interest rates rising, there are plenty of purchase-ready buyers who have the budget to spend on a quality home or unit.
Putting it together
Whether you are buying or selling on the Northern Beaches, now is the time to talk to a real estate agent about your plans and how you can put these changes to use. An agent can find you the best deal or help you to make the changes to your home that will increase its value before you sell.
Give us a call today for help buying or selling Northern Beaches Home.