Once a property is registered with Homes for Homes, it continues to participate even when the property is sold, facilitating a 0.1% donation of the sale price at time of sale by subsequent homeowners. This creates a long-term donation stream. Donated funds are granted to housing associations to increase the supply of social and affordable housing, providing shelter to some of Australia’s most vulnerable people.
To recognise a property’s participation in Homes for Homes, Homes for Homes lodges a caveat over the land title. The caveat acts as a simple reminder to the registered proprietor, of their promise to donate 0.1% of the sale proceeds to Homes for Homes when selling their property.
When conducting a title search, a participating Homes for Homes property is easily identifiable. Homes for Homes recognises a property’s participation by registering a caveat over the land title prohibiting Transfer of Land only. The caveat will appear in Encumbrances, Caveats and Notices.
The Land Titles screen will show Homes for Homes is listed as a Caveator on a registered property. Navigate to the Financial Settlement Schedule.
A Homes for Homes registered property will also be identified on the Financial Settlement Schedule in PEXA. Click ‘Show Me’ for more details.
Information regarding the properties’ participation in Homes for Homes will be shown and the 0.1% donation is auto calculated by PEXA, and the dealing number will be automatically populated as a reference in the destination line item.
Click ‘Create now’. The donation will be added as a disbursement line item in PEXA ready for settlement.
A buyer may purchase a property participating in Homes for Homes. A simple title search will let you know if it is. All participating Homes for Homes properties are easily identifiable. Homes for Homes recognises a property’s participation through registering a caveat over the land title prohibiting Transfer of Land only. The caveat will appear in Encumbrances, Caveats and Notices.
A property participating in Homes for Homes will be disclosed to the purchaser as a special condition in the contract of sale. By executing the Homes for Homes special condition and keeping the property registered with Homes for Homes, the purchaser is continuing the promise and joins a growing number of homeowners making a difference to help solve one of Australia biggest social issues—homelessness. When the purchaser decides to sell the property in the future, whenever that may be, 0.1% of their sale price will also be donated helping grow the pool of donated funds.
As a voluntary initiative, the proprietor on title can withdraw a participating property at any time. Homes for Homes can only act on the instructions of the proprietor, so if your client wishes to withdraw, please instruct your client to email Homes for Homes at [email protected]. Upon receipt of request, Homes for Homes will instruct our legal representative to prepare and lodge a Withdrawal of Caveat via PEXA. Homes for Homes will notify the proprietor when the property has ceased participation.
