CBA is the first major Australian bank to accept Coposit-secured deposits as pre-sales, in a move aimed to help fast-track home ownership.
In a first for a major Australian bank, the
Traditionally, property developers have required that 10 per cent of the purchase price is paid upfront at the time of signing an off-the-plan contract for a new apartment or townhouse. Achieving a certain level of off-the-plan sales is also normally required before a lender, such as a bank, would be prepared to advance the construction loan for the development to proceed. For home buyers, these requirements meant needing to come up with thousands of
Coposit lets qualified home buyers purchase off-the-plan properties with a minimum deposit of
'Housing affordability and undersupply are some of the most pressing issues nationally, requiring a multifaceted approach involving innovative, sustainable solutions and cooperation between all industry stakeholders. Initiatives like this could make a real difference, particularly for first home buyers, by allowing them to secure the purchase of their first home while continuing to save for the initial deposit until the property is built,'
'By accepting Coposit contracts CBA is delivering greater certainty for property developers, who can include these sales in their pre-sale hurdles when seeking financing of their property projects. This is an important step in facilitating better lending outcomes for new residential developments, to help fast-track new supply to the market.'
Render of a completed building
Coposit's CEO and Co-Founder
Coposit has onboarded 65 projects on its platform across the eastern seaboard in
In addition to accepting Coposit pre-sales,
'With residential vacancy rates at record low levels across the country, our new lending standards will support more rental housing developments, including the construction of social and affordable housing where we look to support Community Housing Providers,'
The Coposit initiative from the
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