Shared Equity is Coming of Age

Shared Equity has been around for about a decade now - surprising isn't it?

Instead of owning 100% own 75%, 80% and share the value with another party.

The concept started in the UK and has been used extensively in social housing over there.

In Australia, State Governments in WA, SA and now VIC have adopted a model where the Govt owns say 25% and the purchaser 75%. It is means tested and is targeted at the families who well just can't afford 100% of a home and will almost certainly continue to be a 75% owner.

Home Affordability Solutions has the private sector version. You actually own the 100% of the home, but share (say 20%) of the capital growth. The shared equity counts as an increase in the deposit. It is NOT means tested and the target is families the next step up from the Government schemes. The experience to date is the owner is able to afford to pay out the shared equity in 3-5 years and then get 100% of the capital growth on the home.

Home Affordability has a SPONSORSHIP option which enables a family to help the applicant to jump the queue to qualify.

Why not get one of our team to come and see you. (02) 8188-4888

Recent Posts
Follow Us
  • Facebook Basic Square