FREQUENTLY ASKED QUESTIONS
How do I know if I am eligible ?
Fill out our free initial assessment form and one of our Client Managers we will be in touch to let you know if our product is suitable for you, and discuss next steps.
Does this process require me to be eligible for the first homebuyers grant?
No, not at all. If you are, great. If you aren't, that's great too.
Can I buy a property anywhere in Australia?
Yes, you can buy any home, any where that you can afford. New, old, reno job, big, small, inner city, country - whatever your heart desires. We will help you to work out your borrowing capacity so you can start looking. We will factor your decision about what and where to buy in to our calculations, so the final decision about whether it will all work out will be on a case-by-case basis, however, we will discuss all of that with you through the process.
Does the property have to be at least a minimum value?
No, this will work with any value property.
ARE the loans COMBINED? IF NOT, HOW IS IT DONE?
There are a number of ways that it can all be done and each situation is very different to another. Mostly though, yes each loan is clearly separate to the other. Our client manager will guide you as to the best way to go. Our main Innovation is the ability to exit the parents over a certain time frame and have all their contribution safely returned so you are the 100% owner (with your bank) quite quickly.
What percentage share would I need to qualify for to use this product?
Every situation is different, there is no set parameter to the starting share split ideally the kids can qualify at 60% of the property value which is a good place to start.
IS there a LEGAL AGREEMENT between both parties and what is it FOR?
The legal agreement sets all the terms and conditions relating to the agreement and is set out in the schedule of events. We all nut out together the exact plan and get it in writing so that everyone knows where they stand.
Who pays all the costs associated with the property repairs and maintenance?
The kids pay all costs associated with the day to day operation of the household including repairs. It is the kids house and the parents are only there for a relatively short period of time and only to help with the initial purchase.
What happens if at the end of the agreed term the kids are unable to exit the parents?
Each situation is different the initial term is set between 5 to 7 years before exit. If at the initial term the kids are unable to exit the parents, we reassess through our algorithm and reset the term for a further 2 years and amend the schedule in the legal agreement. This continues until such time the client manager deems the exit can occur.
What iF either party DEFAULTS ON THEIR LOAN PORTION?
We will work closely with both parties to handle these issues. The legal agreement is very detailed and has default clauses. These detail the options that both parties have. Eg. Power of attorney and options for the non offending party to put in a tenant and allow the loan to be paid, via a traditional investment property model.
WHAT IS THE DIFFERENCE BETWEEN THIS PRODUCT AND CURRENT ALTERNATIVES?
None of the alternatives are successfully solving all issues, mainly as they have no clear exit and they do not protect the parents contribution adequately. Our Innovation provides a clear exit strategy, a legal agreement that sets out the terms and conditions of the journey. Our innovation also ensures that the parents get back every cent they put in.