By working together we can make a big difference. Projections indicate Homes for Homes can raise >$1.8 billion over 30 yrs from residential property.
Wholesale participation is simple and can be tailored as required to specific circumstances.
The section below relates to wholesale developer participation only. If you are a Homeowner click here.
STEP ONE: Register with Homes for Homes
1A: Participation Agreement
A Participation Agreement is entered between the wholesale participant and Homes for Homes that covers, either:
- Land and or properties in a nominated development project(s); or
- All future properties / developments by a participating company.
The Participation Agreement documents participation in Homes for Homes:
- Recording participant / project details (name, title details, # properties, etc …), whether the developer intends donating on the first sale (optional) and other considerations; and
- Can be used by the wholesale participant to apply for Green Building Council of Australia Green Star Points (to evidence its participation in Homes for Homes).
The Participation Agreement will also set out any variations to any documentation that may be required to cater for specific project requirements – examples include:
- Donation Deed: The timing of when a sub-division (or equivalent) occurs, may impact whether a single Deed covers the single (parent) title or individual Deeds are entered for each individual title (or a combination)
- ‘permissive’ Caveat: The timing of sub-division and settlement may impact when Homes for Homes (as Caveator) lodges the ‘permissive’ Caveat on the title(s).
- Disclosure: Homes for Homes is disclosed to and acknowledged by the Purchaser via a Special Condition in the Contract of Sale. This wording may vary to accommodate project specific considerations.
1B: Donation Deed
The property(ies) within a development project are registered with Homes for Homes by the wholesale participant and Homes for Homes completing and executing a ‘Homes for Homes Donation Deed’ (Deed).
Depending on the project and title structure, a single Deed can cover all properties (or the parent title), or a separate Deed is prepared for each property to be sold.
In summary, the Deed records the title details and sets out:
- Owner’s consent for Homes for Homes to lodge a ‘permissive’ caveat on title (‘Charge’). A ‘permissive caveat’ permits other dealings, such as mortgages, and triggers the offer to donate when the property is sold. As caveator, Homes for Homes lodges the ‘permissive’ caveat.
- Homes for Homes’ agreement, upon request, to agree to discharge the Charge and, where required, consent to dealings.
A registered property remains ‘in’ Homes for Homes when it is sold, facilitating a 0.1% donation by subsequent owners each time the property sells. Importantly as a voluntary initiative, the current owner can withdraw a registered property (‘Opt-out’) from Homes for Homes at any time.
STEP TWO: Disclose in Contract of Sale and Integrate into Marketing
2A: Disclose in Contract of Sale
Homes for Homes is disclosed in the Contract of Sale as a Special Condition. This ensures prospective new property owners are aware of and the purchaser (new owner) of the property acknowledges the property’s participation in Homes for Homes.
The ‘template’ Special Condition wording is available here. The wording may need to vary slightly to accommodate project specific considerations, such as sale process, timing of the sub-division and related considerations of a participating development. A project specific Special Condition will form an attachment to the Participation Agreement.
2B: Integrate into Marketing
Supported by Homes for Homes, the developer is encouraged to:
- Integrate the property’s participation in Homes for Homes in project marketing materials including information on the need for and reasons for supporting Homes for Homes
STEP THREE: Complete settlement allowing for Homes for Homes
- Should the vendor, purchaser, a Land Titles Office or mortgagee so require, Homes for Homes will provide written confirmation of its consent to a transfer of land, mortgage or other dealing upon request.
- Provide Homes for Homes with details of the property sale and the purchaser
- If elected to do so, donate 0.1% of sale price to Homes for Homes. A DGR Tax Receipt will then be issued.
An ongoing solution.