Under HomeShare you share the cost of buying your home with the Director of Housing. By sharing ownership with the Director you may be able to buy a house you otherwise could not afford.
Through HomeShare you will own at least 70 per cent of your home. The Director contributes up to 30 per cent. The Director’s share is capped at $81,245 for house and land packages.
The amount that the Director contributes depends on the sale price of the house and the size of your loan. You must borrow the maximum amount the Bank will approve.
Example: The house price is $190,000, you would have to fund at least $133,000 (70 per cent share) and meet relevant fees and charges, the Director would contribute $57,000 (30 per cent, the maximum cap limit).
|HomeShare Home Loan||$133,000||(70 % share)|
|Director’s Contribution||$57,000||(30 % share)|
Under HomeShare you must pay out the Director’s share before 30 years. You can do this by purchasing the Director’s share or by selling the house.
The value of the Director’s share will be calculated on the market value of the property at that time. The value may be higher, or lower, than when you bought it.
All HomeShare loans are funded by Bendigo and Adelaide Bank Limited. You must meet all the Bank’s eligibility criteria including acceptable sources of income. You must make loan repayments and pay all costs including rates and insurance to maintain your home.
If you are eligible for a HomeShare loan, an Agreement will be signed by you, Bendigo and Adelaide Bank Limited and the Director of Housing. The Agreement sets out everybody’s rights and obligations. If you fail to meet your obligations under the Agreement, the Director of Housing may take action against you.