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SharedStart Home Loans

All properties under the Housing Authority’s Shared Home Ownership scheme will be purchased with a SharedStart loan from Keystart, the Government’s lending agent.

What is a fixed SharedStart loan?

With a fixed SharedStart loan, you receive finance from Keystart to purchase a percentage of the property from the Housing Authority.

The Housing Authority will retain its share, up to 30%, in the property permanently and you can at any time sell your share of the property back to the Housing Authority. The sale price will depend on the then current market value of your share in the property and whether you have made any capital improvements to the property of the type which is taken into account by the Housing Authority

The market value of your share in the property will be determined by Keystart’s approved panel valuer. Because this is market value, it may be more or less than what you paid for your share.

You will not be charged rent or interest on the Housing Authority’s share of the property. However, you do need to pay all outgoings such as rates, insurance and maintenance.

You will not, at any time, own 100 per cent of the house, however, you can make improvements to the property with the approval of the Housing Authority and Keystart according to the terms and conditions of your co-owners agreement.

If you're a first home buyer, you should speak to your financial adviser or the Office of State Revenue about using your First Home Owners Grant to assist with the purchase. If you contact Keystart first we can let you know how you can use the grant towards your deposit according to Keystart conditions.

What is a flexible SharedStart loan?

With a flexible SharedStart loan, you receive finance from Keystart to purchase a percentage of the property from the Housing Authority

The Housing Authority may co-own up to 30 per cent of the property. The Housing Authority's share will depend on your borrowing capacity, household size, and the location and type of property to be purchased.

The flexible loan is intended to help you with your initial steps into affordable home ownership until your financial circumstances improve and you are in a financial position to purchase the whole or part of the Housing Authority's share or finance from an alternative home lender to refinance the loan and purchase the Housing Authority's share outright.

Your financial circumstances will be assessed by Keystart annually and you will be encouraged to purchase an additional percentage of the Housing Authority’s share of the property or purchase the property outright if your financial circumstances have improved over time.

If, according to your annual review, your financial circumstances have not improved, your SharedStart loan conditions will remain the same.

Discounts may apply for increasing your share of the property within two to seven years from the commencement of your loan.

Refinancing your loan when your financial circumstances improve means that Keystart can recycle the funds from your loan to another West Australian in need of housing finance. This way, we help as many people as possible.

Once you receive pre-approval, you will find out how much Keystart is prepared to lend you in order for you to select your home.

You will not be charged rent or interest on the Housing Authority’s share of the property. However, you do need to pay all outgoings such as rates, insurance and maintenance.

What will it cost me?

The fees and charges associated with a SharedStart loan will be notified to you by Keystart. Your settlement agent will advise of the costs associated with settlement of the property.


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