Shared Equity Home Ownership Scheme
In July 1987, Cabinet approved the introduction of a NT Shared Equity Home Ownership Scheme to allow potential home owners to purchase an affordable share in a dwelling of their choice, using private sector finance. The Scheme provided a new way of overcoming the problems of affording home ownership when interest rates were high.
The Scheme allows persons to buy homes with a minimum 10% deposit using finance from a private lender, and still be able to afford repayments. The remaining purchase private of the property – up to 50% of its value in some cases – was made available under this scheme. The purchaser could enjoy all rights of home ownership, and pay a reduced rental for the Government’s equity in the dwelling. The remaining equity in the dwelling can be bought from the Government at the prevailing market value when the owner’s financial situation allows. Title to the dwelling was in the names of the purchaser and the Government on the basis of Tenants in Common. Whilst the Scheme was intended to primarily stimulate activity in the private sector market place, it could also be utilised by Housing Commission tenants to purchase their dwellings.
Read the Cabinet Decision - Submission No. 4473 and Decision No. 5210 of 2 July 1987