REIWA CEO Cath Hart welcomes Keystart’s new Urban Connect Plus loan, which aims to make buying an apartment off-the-plan easier.
“One of the challenges for people seeking to buy off-the-plan is the deposit,” Ms Hart said.
“This can be up to 10 per cent of the purchase price, which can be a significant barrier to entry for potential buyers. The Urban Connect Plus package allows eligible buyers to access a loan to cover the deposit, overcoming this barrier.
“From a developer’s point of view, deposits are needed to get apartment projects out of the ground. This initiative should also help stimulate building in this sphere, which is greatly needed to provide more affordable and diverse housing options for buyers.
“We commend the Cook Government for its ongoing actions to help more people into home ownership, and also its initiatives supporting apartment development.”
The Urban Connect Plus loan is only available with an Urban Connect Home Loan and only applies to off-the-plan purchases.
While the apartment is being built the buyer will make payments toward their Urban Connect Plus loan. Once the apartment nears completion, and the rest of the purchase price is due to the developer, the buyer will transfer to the Urban Connect Home Loan.
Keystart’s Urban Connect Home Loan program targets medium and high-density living in urban locations and close to rail transport hubs.
Income and property purchase limits for the Urban Connect Home Loan are $180,000 for singles with a property purchase limit of up to $560,000, and a combined income of $200,000 for couples and families with a property purchase limit of up to $650,000.
