Target Market Determination - Advantage Loan

Target Market Determination - Advantage Loan

Target Market The Advantage Loan is designed to help lower income earners achieve home ownership by increasing a customers purchasing power without increasing their maximum loan repayments (income limits will apply and will determine the maximum loan amount). The Advantage Loan is ideal for borrowers who want to:
  • buy an established home;
  • construct a home;
  • buy a newly completed home; or
  • refinance an existing home loan
Conditions Customers must meet the requirements of either the HomeStart Home Loan, Graduate Loan or Low Deposit Loan.
  • The property must be owner occupied by the applicant
  • Customers may not own other property
  • Customers may retain up to $10,000 of personal savings
  • No monthly repayment required (interest will be charged at the applicable rate)
If/when the HomeStart Home Loan, Graduate Loan or Low Deposit Loan is paid in full, the Advantage Loan balance will be transferred to the HomeStart Home Loan, Graduate Loan or Low Deposit Loan and will accrue interest at the HomeStart Home Loan, Graduate Loan or Low Deposit Loan interest rate.
Restrictions HomeStart is required to be the first
mortgagee on all properties used as security
for HomeStart loans.
  • Maximum LVR: combined Advantage Loan and HomeStart Home Loan, Graduate Loan or Low Deposit Loan must not exceed $950,000
  • Maximum retained savings: $10,000
  • Net household income limit applicable:
    $65,000
Availability of Primary products:
  • HomeStart Home Loan
  • Graduate Loan
  • Low Deposit Loan
Availability of Secondary / Deposit and Fee Assistance products:
  • Starter Loan
  • Wyatt Loan
Origination channels:
  • HomeStart Finance
  • Accredited Brokers
Circumstances when TMD no longer appropriate
  • Product has been removed from distribution
  • Review trigger event occurs
  • HomeStart has been notified of a significant dealing event
Review period
  • Initial review – 3 months from date of first issue
  • Periodic review - biennial from initial review (or earlier if product altered)
Complaint notification www.homestart.com.au/feedback
DDO Reporting DDOreporting@homestart.com.au
Distributors will report if they become aware of a significant dealing event in relation to this TMD,
within 10 business days.
Identification information R/21/1254680


Important Information about TMD’s

A TMD is not intended to provide you with financial advice.

The information in a TMD does not take into account your individual objectives, financial situation or needs and before making any decision you should refer the relevant Terms & Conditions and Fees & Charges information and other supplementary documents, such as the Key Fact Sheet to consider whether the product is appropriate for you.

If you are looking to report information to HomeStart in relation to our product Target Market Determinations, you can email us at DDOreporting@homestart.com.au.
 

Download PDF version