Afonso Building Solutions director David Afonso was "elated" at the federal government's move to offer grants of up to $25,000 for owner-occupiers to erect a new home or renovate their property.

"I think this is a very good policy for regional areas, I'm not sure it as favourable to the metro areas," Mr Afonso said.

"This could be the difference between people moving to regional areas or not."

Mr Afonso based his view on $400,000 netting an "excellent" house and land package on the Border, nearly half the $750,000 cap on the value of new homes under the government scheme.

"In parts of the city there are areas where you can't get a house and land package for $750,000," he said.

Prime Minister Scott Morrison said the housing cash was designed to address a downturn linked to COVID-19.

However, home building representatives told The Border Mail that our area had been largely unaffected by a drop-off due to coronavirus.

While the closure of display homes during the lockdown had seen inquiries dry up, they said it was clear interest was returning.

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Masters Builders Association Murray division president Dale Paddle said the coronavirus "hasn't had a huge impact".

However, he said there could be a long term effect on demand if immigration levels do not return to pre-COVID-19 levels.

Peter Bowen Homes general manager Michael Walsh said the stimulus offered by the government would help with continuity of projects.

"In the building industry we've had plenty of work to keep going and up until August-September there is plenty of work in the pipeline," Mr Walsh said.

"The risk was would the trades be looking for work in the fourth quarter of the year."

Mr Paddle said there was a concern that homebuyers who had just entered into contracts to build may want to cancel their agreements and renegotiate.

He said legal advice was being sought on that matter.

The HomeBuilder scheme will run until December 31.

To be eligible recipients need to have an income of less than $125,000 (singles) and $200,000 (couples).

The construction of the new home or renovation needs to start within three months of a contract inking.

Mr Afonso said when the $25,000 grant was tied to first home schemes a regional Victorian could have $45,000 in total and an Albury property owner $35,000.

Mr Walsh said his company was also offering $20,000 discounts for a short time to first time buyers.