Some First Home Buyers in Victoria are jumping for joy as new plans are announced for the states First Home Buyers Grant. The grant has been extended by 12 months with some modifications. It is now  focused heavily on new home buyers. The state bonus that was $5,000 has now been increased to $11,000 from the 1st July 2009. Further incentives have also been put in place to encourage home ownership outside of Melbourne in regional Victoria. Where First home buyers were once getting $3,000 for a purchase in regional Victoria, they will now be receiving $4,500 from 1 July 2009. The First Home Buyer state bonus will be avaiable for those purchasing under $600,000.

“Premier John Brumby said today the new package was aimed at helping Victorian families into their own homes sooner by offering $22,500 for first home buyers purchasing a new home in regional Victoria, $18,000 for a new home in metro Melbourne and $9000 for an existing home as of 1 July this year.”

This is a big commitment by the State Government, however the positive effects on this should be well worth it. Further to this, this statement also reduces the pressure of the Federal Government to continue their First Home Buyer Bonus. The focus on the Federal Budget tomorrow night will give us an inidication of where the Rudd Government sees the place of the Australian property and construction industry in the recovery from the current economic turmoil that Australia and the rest of the world are in.