Feeds:
Posts
Comments

Posts Tagged ‘first home owners’

budget 09TONIGHT’S Federal Budget will be about three things – jobs, nation building and a path back to surplus.

That was the message from Treasurer Wayne Swan this morning as he again repeated the Government’s mantra that there would be “difficult decisions” and “no easy answers”.

Just hours from delivering a in Budget ravaged by a $200 billion writedown revenue, Mr Swan said he was working in the “most difficult set of circumstances in 75 years”.

But he dodged questions about the likely impact on Labor in the polls, saying: “What we have to do is the right thing in the nation’s long-term economic interests”.

Wealthy retirees emerged as the latest group to pay the price for that stance today.

The Daily Telegraph reported they could have their pensions cut to help fund a $30-a week increase for almost one million single age pensioners.

The Government is expected to tighten the taper rate on the age pension, a method by which it claws back the welfare payment from retirees with an independent income.

It is just one of a number of cutbacks the Government is expected to outline as it tries to rein in an expected almost $60 billion Budget deficit.

The 30 per cent tax rebate for private health insurance coverage will be means tested, payouts for obstetric and IVF services under the Medicare Safety Net will be cut back and the increase in the first-home owners grant will be wound back.

Wealthy Australians will have their tax break on superannuation contributions cut in half and government superannuation co-contributions for low income earners will be slashed from $1500 to $1000 a year.

The “sin taxes” on alcohol and cigarettes could be increased.

But the Budget will announce an 18-week paid maternity leave scheme.

And it is expected to include a big-spending jobs package to combat an expected increase in unemployment to 8.5 per cent as a result of the global financial crisis.

The Opposition said the Budget cutbacks were made necessary by the Government’s irresponsible big-spending stimulus packages in response to the global financial crisis.

The $30-a-week rise in the pension will go only to single age pensioners and will see the weekly pension rate rise from $284.90 to $315 a week.

It will answer criticism that the payment left in poverty those who relied solely on the pension.

The rise is also expected to be extended to single veterans and disability pensioners but will not go to single mothers.

The pension rise will cost more than $3 billion, and to help pay for it, the Government is expected to tighten means testing of pensions.

Currently, single pensioners can earn up to $41,000 and still receive a small pension payment.

They also qualify for a range of concessions on medicines, council rates, electricity bills and telephone allowances worth up to $10,000 a year.

Couples can earn up to $68,000 and still get access to these valuable concessions.

http://www.news.com.au

Advertisements

Read Full Post »

SALES of new homes rose for a third straight month in March – with a 7.3 per cent jump in WA – as government grants and low interest rates enticed buyers into the housing market, a survey shows.

The Housing Industry Association survey found new homes sales increased by 4.2 per cent to 8210 homes following a 7.8 per cent rise in February.

Purchases of detached homes rose by 4.1 per cent to 7474 houses in March, with a quarterly rise of 17 per cent, HIA reported.

HIA chief economist Harley Dale said the project home building market gained a lift from the first-homeowners’ grant (FHOG) and low interest rates during the first quarter of 2009.
The first-home owners’ boost for new dwellings is clearly lifting residential building activity and securing jobs within the Australian economy,” Dr Dale said.

In mid-October, the Federal Governmentdoubled the FHOG to $14,000 for established dwellings and tripled it to $21,000 for newly- built homes.

The Reserve Bank of Australia lowered the cash rate by four percentage points to 3.25 per cent between September and February. Subsequently, on April 7 the RBA cut official interest rates by 25 basis points to three per cent – a 49-year low.

Dr Dale said the Federal Government should consider whether to stop the boost to the FHOG, as originally planned for June 30.

Loans to first-home buyers posted a record 26.9 per cent of housing approvals in February, according to data from the Australian Bureau of Statistics.

Sales of units rose by 4.7 per cent to 736 in March, yet sales in the sector were down by 14 per cent in the first quarter of 2009.
The first-home owners’ boost for new dwellings is clearly lifting residential building activity and securing jobs within the Australian economy,” Dr Dale said.

In mid-October, the Federal Governmentdoubled the FHOG to $14,000 for established dwellings and tripled it to $21,000 for newly- built homes.

The Reserve Bank of Australia lowered the cash rate by four percentage points to 3.25 per cent between September and February. Subsequently, on April 7 the RBA cut official interest rates by 25 basis points to three per cent – a 49-year low.

Dr Dale said the Federal Government should consider whether to stop the boost to the FHOG, as originally planned for June 30.

Loans to first-home buyers posted a record 26.9 per cent of housing approvals in February, according to data from the Australian Bureau of Statistics.

Sales of units rose by 4.7 per cent to 736 in March, yet sales in the sector were down by 14 per cent in the first quarter of 2009.
The first-home owners’ boost for new dwellings is clearly lifting residential building activity and securing jobs within the Australian economy,” Dr Dale said.

In mid-October, the Federal Governmentdoubled the FHOG to $14,000 for established dwellings and tripled it to $21,000 for newly- built homes.

The Reserve Bank of Australia lowered the cash rate by four percentage points to 3.25 per cent between September and February. Subsequently, on April 7 the RBA cut official interest rates by 25 basis points to three per cent – a 49-year low.

Dr Dale said the Federal Government should consider whether to stop the boost to the FHOG, as originally planned for June 30.

Loans to first-home buyers posted a record 26.9 per cent of housing approvals in February, according to data from the Australian Bureau of Statistics.

Sales of units rose by 4.7 per cent to 736 in March, yet sales in the sector were down by 14 per cent in the first quarter of 2009.
New home sales rose by 15.2 per cent in New South Wales in March, with Victoria up 14.6 per cent and WA 7.3 per cent higher.

South Australia had a 4.6 per cent fall in new homes sales during March, with Queensland down 16.9 per cent following a 26.2 per cent rise in February.

CommSec economist Savanth Sebastian said the lower mortgage rates and the June 30 first home buyers deadline is likely to boost demand for property in coming months, but prices will be held back to a large extent by worries about job prospects.

CommSec is forecasting unemployment to rise to 6.5 per cent over the next year. The national jobless rate is now at 4.9 per cent.

Loans to first homebuyers posted a record 26.9 per cent of housing approvals in February, Australian Bureau of Statistics (ABS) data showed.

“While the rate of growth in sales reflects to an extent the low base from which a recovery is emerging.

“There is no doubt that the previously mentioned triple boost from low interest rates, stimulus to first-home buyers, and builder discounts have injected some life into a previously moribund new home building market,” the HIA reported.
http://www.inmycommunity.com.au/property/

Read Full Post »