State of Markets – NT September 2012

NORTHERN TERRITORY

Fast figures

• 0.4%: vacancy rate in Darwin (SQM Research)
• 4.2%: unemployment rate, trend (Australian Bureau of Statistics)

Territory house prices may see increase
House prices might be driven up in the Northern Territory under a new planning commission, according to government sources.

Investors with property in the Territory may see their house values pushed higher should the Country Liberals establish a planning commission were the party to be elected later this year.

As currently envisaged, the commission would develop long-term strategy plans for the Territory; however, some have warned the plans will increase the cost of housing to unaffordable levels.

“It’s simply more red tape, more bureaucracy, more delays and higher house prices,” Treasurer Delia Lawrie said of the commission.

$10,000 new build grant extended
Investors in the Northern Territory have been given an extension to the BuildBonus scheme, Treasurer Delia Lawrie announced.

The initiative to stimulate construction, a $10,000 grant, has been extended until 31 December 2012, having originally been set to finish at the end of June.

“Whether it is your first home or an investment property, BuildBonus provides a one-off $10,000 grant to all homebuyers purchasing or building a new home to the value of $600,000,” Ms Lawrie said of the scheme, which was introduced in May 2011.

“As well as giving first homebuyers a leg-up, the scheme promotes investment in the housing sector, stimulating our construction sector and creating more rental housing stock.”

Companies and trustees are also eligible, while first time buyers can receive both the First Home Owner Grant and the BuildBonus, allowing them to receive grants up to $17,000.