WA Keystart loan initiative extended

Western Australians homebuyers taking out Keystart loans will have their increased income limits extended for a year.

Existing customers can now also access home renovation loans of up to $100,000.

The state government announced the loans, which were due to revert on July 1 this year, will continue until June 30, 2021.

In the state budget last month, the Labor government announced a temporary six-month increase to the Keystart first home buyers income limits by $15,000 for singles and couples and $20,000 for families.

Housing Minister Peter Tinley says the campaign could see up to $12.4 million injected into the state's economy through products and construction services.

"The state government understands the importance of owning your own home and has worked hard to make that dream accessible for more Western Australians," he said.

"We also recognise that renovating and home improvement can have the win-win effect of adding value for property owners while also providing work for trades and businesses, and supporting the economy."

Keystart chief executive Paul Graham said the loan agency was passionate about making housing affordable.

"We will continue our proud 30-year history of helping to make the dream of homeownership a reality for Western Australians," he said.