| Target Market |
The HomeStart Loan is aimed at customers who want to:
- buy or build a home
- purchase land
- refinance an existing home loan
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This loan is aimed at customers who want to choose from a:
- Standard Variable Rate
- Fixed Interest Rate (1, 2 or 3 years)
- Split Interest Rate (total minimum loan is $50,000 and each portion of the split facility must have a minimum of $20,000)
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| Eligibility criteria & restrictions |
This loan has certain eligibility criteria for you to consider:
- Can I use the HomeStart Loan towards the purchase of a rental property? No, HomeStart does not lend for investment property purchases. You must occupy the home as your principal place of residence and not own any other property.
- Is there a limit to the maximum I can borrow from HomeStart? Yes, the combined total of a home loan and additional loan must not exceed $750,000.
- Given how much I can borrow, will I be charged Lenders Mortgage Insurance (LMI)? No, HomeStart does not charge LMI to customers. In fact, HomeStart does not require LMI.
Other restrictions include:
- Customers must be 18 years of age or over
- Customers must be an Australian citizen, have a permanent residency status or have any acceptable class of visa
- Customers must reside in the property and not own other property
- Security for the loan must be located in South Australia
- Customers must have regular income (this can include Centrelink benefits)
- Customers must have a clear credit history - no current or outstanding defaults should be listed on the customer’s current credit report
- Not be an undischarged bankrupt
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| Conditions |
HomeStart is required to be the first mortgagee on all properties used as security for HomeStart loans.
The following conditions apply:
- Combined total of all loans must not exceed $750,000
- Minimum loan: $10,000
- Maximum LVR: 95%
Refer to the Fact Sheet for full terms and conditions. |
Availability of additional / deposit and fee assistance products:
- Advantage Loan
- Shared Equity Option
- Starter Loan
- Wyatt Loan
Origination channels:
- HomeStart
- Accredited Brokers
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| Risks |
Home loans come with risks. To help you understand your risks, it is recommended that you seek independent financial advice or legal advice before taking out a home loan. Some of the risks specific to the HomeStart Loan may include:
- Due to the structure of our repayments, paying off your home loan may take longer than with a conventional lender
- At times, the repayments required may be less than the interest charged onto your loan, resulting in your loan balance increasing
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| For more information |
For more information about the HomeStart Loan, call us on 1300 636 878 and one of our dedicated Home Loan Specialists can help answer your questions. Alternatively, visit our website to find more information about this specific home loan product. |
| 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)
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| 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 |
Effective date 4 October 2024. R/21/1252060 [v10] |
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.
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