OwnHome can help you buy your dream home in several ways, even if you have already saved for a deposit. For instance, you may not be happy with the loan amount that a mortgage lender has approved you for. If a better home is a little out of reach using this traditional path, we can buy it for you and you can move in, take a bit more time and save up or get qualified for a higher loan amount and buy it back from us with no hassle. You could think of it as a home ownership boost in this situation.
Another way that OwnHome helps those who have already saved a deposit is through our cash offers. You will have a much higher chance of winning the home you want this way, and we can use this to also negotiate better prices and concessions for you. OwnHome also handles the entire home buying process for you, from negotiation to inspection to make sure the home is good quality. This will likely be the first time you are buying property, but it’s not our first rodeo and know what to look for, what's a good deal and what's good quality!
With each monthly payment, you'll earn Purchase Credits, which add up to a percentage of your OwnHome Home's price when you’re ready to buy it for yourself. It's like cash back on your rent. With the help of these Purchase Credits, you can buy your OwnHome Home from us even sooner than expected by applying them to the home’s price. As a result, a mortgage with a lower deposit becomes much easier for you!
We make money from the rent you pay us and the appreciation of the house during the rental period. For instance, if you pick a home priced at $800,000, and you decide to buy it from us after two years, you'll buy it from us for $893,000 and get to put your Purchase Credits towards this. Our profit from selling the home to you allows us to keep doing what we do.
OwnHome is a great stepping stone to a mortgage, which we’ll help you get.
A mortgage loan is how most Australians buy their home. However, they require hefty deposits, closing costs and approvals from third parties (banks, appraisers etc). When you are ready to secure a mortgage to buy out OwnHome and take title to the property you are living in, OwnHome will be here to help you navigate that process. With a mortgage, you own legal title to the property and the bank (mortgagee) has the right to initiate foreclosure in the event of default of payments.
With the OwnHome path to home ownership, OwnHome retains legal and equitable title, however, as the customer you have a contractual right (option) to purchase the property at a pre agreed price and can use the purchase credits accrued toward that pre-agreed purchase price. If you decide not to exercise the option, or default on the rental payments, OwnHome has the right to terminate the option-lease contract and you will forfeit the purchase credits in line with the vesting schedule.
OwnHome allows you to rent a home, and build Purchase Credits towards it until you can buy it using a mortgage. OwnHome allows you to move into your dream home and customize it from day 1, so you don’t have to move again when you transition to home ownership.
With OwnHome you can make renovations (subject to OwnHome approval) to really make the home feel like yours.
Renting typically does not allow for much flexibility throughout the entire process. For instance, when looking for a rental property, you are limited by the market - not every home is available to rent. Once living in a rental home, you typically don’t have the option to purchase the home and do things like make renovations.
No, OwnHome is not a lender and you are not getting a mortgage. OwnHome buys the home, OwnHome retains title to the property and you make monthly payments. You will also have the exclusive right to buy the home from OwnHome and the purchase price will be determined upfront according the pre-agreed schedule of home-price appreciation of 3.75% p.a. No surprises!
OwnHome has designed a program that allows our customers to move into their dream home right away and without a deposit. Think of it as fast forwarding homeownership!
OwnHome will buy your dream home for you today and we give you the ability to purchase the property from us on your schedule. Lock in your monthly payment, lock in the purchase price and stop wasting your money on rent.
You have the exclusive option, but not the obligation, to follow through on your property purchase. However, if you decide not to follow through on the property purchase, you will forfeit a portion of your Purchase Credits (depending on how long you have been with us).
We take several factors into consideration when reviewing an application. You could be declined because of your rent-to-income ratio, debt-to-income ratio, credit profile, or because we are not operating in your state.
Our prequalifiction process is rigorous. Your home budget is the maximum house price that allows you to (1) make monthly rent payments; (2) save for a deposit, and (3) get a mortgage in 2-5 years to exercise your option over the property
There is no application fee. However, there is a non-refundable initiation fee of 1.5% of the value of the property due prior to making any bid on a property on your behalf. We need this to ensure that when we bid on a property, we don't miss out on your dream house if there is anything that delays your payment. If after 3 months we have not successfully put you in your OwnHome, we give this back to you no questions asked!
Working with OwnHome is quite simple and looks like this:
See your buying power with OwnHome