Downsizer allows asset-rich, cash-poor buyers to purchase off-the-plan developments easily using a Downsizer Bond. All they need is sufficient equity in their existing home to qualify.
The requirement to prove a minimum of 100% debt cover through presales has long been a hurdle faced by developers.
“97% of all sales our company has achieved over the past 11 years are to downsizers, who are typically asset rich, but cash poor. For this reason, we believe the Downsizer product will be perfect for our downsizing purchasers"
Downsizer instantly obtains a digital valuation on the owned home of each potential buyer, directing eligible leads straight to the developer. Our system also allows for land title verification nationally.
The presales progress of each project stays updated in real time at every stage of the process – ready to update your bank in a click.
Having downsizers as potential buyers is the best segment to target because they are 98% likely to settle the deal. The lower age brackets are less likely to transact, sitting at around 72%.
Downsizer captures and aggregates crucial anonymised data on a micro and macro level, at every stage of the process, to the benefit of all parties. So, what does this mean?
Lombard Insurance Company Ltd (Lombard) is the Guarantor of the DP Bonds Pty Ltd (Deposit Power) product. Lombard is an international trade and commercial insurance provider, and has been providing capacity to the Australian insurance market for over 10 years. To ensure a local, timely, and independent claim process, Lombard established a custodian fund with Perpetual Corporate Trust Ltd (Perpetual) to be used solely for the payment of deposit bond claims. As the Authorised Manager of the Guarantor, Deposit Power is authorised to accept, assess, and instruct Perpetual to pay valid claims. Authorised staff at Deposit Power have sole authority to instruct Perpetual to make payment. Such authority to instruct Perpetual is made independently of and without reference to Lombard.
If you have reached the eligible age of 55 years, you may be able to contribute up to $300,000 (each spouse) $600,000 (per couple) from the proceeds of the sale (or part sale) of your home into your superannuation fund. For more information please see the ATO site by clicking this link:
Downsizing contributions into superannuation
