There is a big response to a new initiative in the Illawarra for people who can’t save a deposit to enter the housing market but can make repayments.
More than 100 applications have been received for a new affordable housing initiative.
And the first new home owners will move into their new townhouses within weeks after construction company Hyperbuild and not-for-profit organisation BuyAssist Australia decided to work together to help people struggling to make a deposit.
At Thursday’s Illawarra Business Chamber’s Business Before Hours networking event Hyperbuild managing director Theo Pasialis said the program provides a minimum 20 per cent deposit to eligible purchasers under a regulated loan agreement.
“It is the first time it has been done in NSW and we are very proud to be part of that. What BuyAssist will do is assist them in obtaining the loan. The deposit doesn’t have to be paid back until the home owner moves or sells. If they have borrowed 20 per cent they have to give 20 per cent of the new value back,” he said.
The first successful applicants will be named within weeks and will settle in July.
“Two three-bedroom townhouses are now available for the selected BuyAssist candidates at Hyperbuild’s development in Albion Park Rail. We anticipate in July we will have two happy owners who otherwise would not be in their own homes. Our target is to get 200,” Mr Pasialis said.
The BuyAssist program has exceeded expectations with more than 100 applications since since March.
“It is different to social housing. It is enabling the people who don’t have the capacity to save up for a deposit to enter the housing market and be able to buy their first home,” he said.
BuyAssist CEO Mark Flack said the big response revealed a very real need for a solution for a variety of people struggling to make a deposit. He said the goal is to make home ownership more affordable and more attainable in the Illawarra for lower and middle income earners and key workers such as nurses, teachers and police.
“The BuyAssist and Hyperbuild initiative means we can quickly match people to properties, getting them into their own home much sooner,”Mr Flack said.
Meetings are being held with the mayors of Wollongong and Shellharbour to discuss a variety of feasible options to partner with both councils to create even more opportunities.
For more information about the scheme visit: www.buyassistaustralia.com.au