Buying Boost turns homeowners dreams into reality

Would-be homeowners currently locked out of the real estate market, due to not being able to save all of the deposit, now have a way of buying a home.

Integrated residential property business LongView, has established Buying Boost, a new shared equity platform that will see them partner with aspiring homeowners to help them realise their property goals.

Under the platform, LongView will invest $30 million to help hundreds of buyers in Melbourne, Sydney and Brisbane secure a home by adding to the deposit required to get into properties valued between about $800,000 and $3 million. 

LongView Chief Executive Officer Evan Thornley said increased property prices had made it difficult for many people to enter the property market, with many potential buyers able to afford to meet mortgage repayments but who are unable to save the full deposit needed to borrow from traditional lenders.

“In the absence of ‘the bank of mum and dad’, being able to buy a home you love is a pipe dream for most Australians in the current housing market,” Mr Thornley said. 

“Buying Boost was created to help people who are ready and willing to buy a home, but through a variety of circumstances can’t come up with all the money they need.”

Under the platform, LongView Buying Boost will provide first home buyer clients with up to 50 per cent of what they have saved to buy a home.

This means the client will contribute two-thirds towards the property purchase, while LongView contributes one-third.

For example, if a buyer has $200,000 saved towards a deposit and stamp duty, LongView would boost the deposit by $100,000, taking the full deposit the buyer has to $300,000. 

LongView would then be entitled to one-third of any capital growth when the buyer sells the property. 

For upgraders, LongView can assist, however the amount they provide will depend on individual circumstances.

Mr Thornley said the list of people LongView is helping include young people, migrant couples and migrant families, all of whom might not have access to the ‘bank of mum and dad’.

LongView CEO Evan Thornley.

They are also assisting families who have outgrown their homes and are looking to upgrade and recent divorcees looking to rebuild their lives in a new home but who  can’t afford to either buy out their partner or invest in a new home.

For divorcee AK Schoefer, Buying Boost allowed her to buy her dream home in Bondi without having to sacrifice any existing assets. 

“As a single mother with two children and a dog, I felt really overlooked in the competitive rental market, she said.

“I needed stability but I wasn’t willing to compromise on location or community,” she said. 

“LongView not only gave me the funds I needed to afford my home, but their investor perspective reassured me that I was looking at the right parameters to make my final property choice and ensured I bought a great asset for our future. 

“Now, we live 300m from one of the world’s greatest beaches – something I couldn’t do without their support.”

Mr Thornley said LongView used in-depth data to help buyers find the most valuable and attainable properties that are likely to double in value in 10 years – but without the added stress of accumulating an unmanageable mortgage.

“With Buying Boost, home buyers don’t have to worry about paying monthly interest or extra fees, and only need to pay the money back when they sell the property or anytime earlier if they wish,” he said.

“We only make money if they make more money – by sharing in the profit and appreciation together.”

For buyers like Supratik and Anindita Choudhury, Buying Boost means no longer having to make the difficult choice between owning a home and making compromises on lifestyle.

“We would still be renting if not for LongView,” Mr Choudhury said. 

“We’ve never been [financially] assisted by family, everything we’ve done is from the ground up. 

“LongView was the extra support that we needed. 

“At the end of the day, to own a house is all about freedom and pride – we just did it with their help.”

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