Question 1

How does Ownlea work?

Accepted Answer

Ownlea combines the security of buying with the flexibility of renting.

Tenants are provided with a five-year rental agreement and the ability to contribute towards the future purchase of the property. In doing so, Ownlea and the tenants share any capital growth in the property.

Any payments exceeding the base rent contribute to the tenant’s equity share of the property. At any point, the tenant can elect to purchase the property, taking advantage of the equity they have accrued.

Question 2

What is the Ownlea Platform?

Accepted Answer

The Ownlea platform replaces the traditional ‘rental platform’, allowing customers to directly browse properties and apply for occupancy. Due to anticipated demand, applications will be awarded based on a ballot.

Question 3

What is an Ownleaship Agreement?

Accepted Answer

An Ownleaship Agreement combines a residential tenancy agreement with a call-option that gives the tenant the right, but not the obligation, to purchase the property over a predetermined and set period.

Depending on the agreement, customers can target specific equity goals that range from purely renting through to accruing the equivalent of 4% equity per annum. (Targeting 20% by year five).

Question 4

How will I know if there are new Ownlea properties?

Accepted Answer

New properties will be viewable on the properties page when Ownlea fully launches.

Moving forward, we would like to implement a filtering option, similar to online shopping where the user can sort through results and properties by price (ascending, descending, popularity, newest, etc.) 
As Ownlea properties are unveiled, we aim to provide an option for users to subscribe for notifications for new available properties.

Question 5

Can I explore properties I am not eligible for? - Are there any limitations on the properties I can view?

Accepted Answer

You are able to explore all available properties but may not yet be eligible to apply to be a part of that property's ballot if you do not meet the requirements. However, at Ownlea, we understand that circumstances change. A property that you may have once been ineligible for, may be feasible for you in the future.

Question 6

What is the timeline of an Ownleaship Agreement?

Accepted Answer

The Ownleaship Agreement is set for five years from the date the property becomes available to occupy, or the date the agreement is set to commence.

For example, if the property is an existing apartment the agreement would be set to commence in the coming weeks. If the apartment is under construction the five-year term would not commence until the apartment was complete and ready for occupation.

Question 7

What do I do in the period between the agreement and moving in?

Accepted Answer

Depending on the property, the period between signing the agreement and moving in may be between one week (for existing stock) and two years (for off the plan apartments).  For extended timelines customers can begin to pay towards the purchase price, or alternatively they can choose to sit tight and wait for the property to become available to occupy.

Question 8

Will I be able to keep updated with the progress of the construction?

Accepted Answer

Yes – for off the plan properties we will keep you in the loop with regular updates on the status of construction.

Question 9

What happens after during and after the five-year agreement?

Accepted Answer

During the Ownleaship agreement you have stability and certainty around the rental costs – you know what you will be paying, and that the property will be yours for the full period of time. During this period, you can pay down the purchase price of the property.

At any time during this period, you can elect to purchase the property or on-sell it take advantage of any capital gains.

At the end of the five years you can purchase, on-sell, or vacate the property.

Question 10

Does Ownlea own the property?

Accepted Answer

Ownlea owns and manages the property until you decide to formally purchase it. You have a call-option on the property that gives you the right, but not the obligation, to purchase the property at any time during the Ownleaship agreement.

Question 11

Who manages the property?

Accepted Answer

Ownlea manages the property during the period of the Ownleaship agreement.

Question 12

Do I need to pay levies, council rates or utilities?

Accepted Answer

No, your rent payment covers levies, utilities, and council rates – one payment to rule them all!

Question 13

Why does the model include utilities and how is this calculated per bill?

Accepted Answer

We want to provide certainty and simplicity to our customers. To do this, we consolidate the rental, utility, strata, and council costs into a single payment. This figure is based on forecast reasonable usage for residential dwellings, based on their size and occupancy.

Question 14

What contact will I have with Ownlea during my tenancy agreement?

Accepted Answer

Ownlea will keep you up to date with any community news and property information that will be relevant to you. We will contact you via email or through our property management app, depending on your preferences.

If you need to contact us, you will be able to reach us through the app, or via email or telephone.

Question 15

Will there be rental inspections?

Accepted Answer

Yes – property inspections will occur ensure that the buildings are being generally maintained and for the benefit of the community. We understand that these can be inconvenient, so we are hoping that it can be addressed by way of a simple video-call at a time that suits the tenant.

Question 16

Are payments in excess of rent essentially the ‘deposit’ for the property?

Accepted Answer

Any payments beyond the base rental amount act to discount the future purchase price of the property. Achieving a 20% goal would mean a 20% discount off the strike price of property. 
When you decide to buy the property, this discounted price to the tenant may be significantly lower than the market value.

Ownlea will always disclose the underlying purchase prices to the tenant, with price growths set at or below historical growth rates. Its important to note that property prices can go up and down. Past performance is not necessarily indicative of future performance.

Question 17

Can we modify or renovate the property during the Ownleaship agreement period?

Accepted Answer

Ownlea encourages occupants to make their space their own. We understand that personalisation is a crucial part of creating your home.

Ownlea enables the following modifications:
o   Paint and wall finishes.
o   Wall art and decal applications. 
o   Lighting fixture upgrades (not impacting structure). 
o   Non-structural flooring upgrades.
o   Custom built-ins (shelves, cabinets, or closets).
o   Window treatments.

Question 18

What if I decide that I no longer want the property that I have agreed to? Can that equity then be transferred onto a different property? Do I lose it?

Accepted Answer

If you decide that you no longer want to continue investing in your property, you have the right to transfer that equity into a different property. However, this will involve reapplication to, and successful selection into the ballot of the different property. 
 
You will not lose the equity that you have accrued.

Question 19

If I move out of the property, can I sub-let it to another person?

Accepted Answer

We allow a property to be sub-let, subject to the conditions of the Ownleaship agreement being met. The agreement remains between you and Ownlea.

Question 20

How does the ballot work?

Accepted Answer

Customers can apply for and be pre-approved for certain price-limits based on an assessment of affordability.

If the property meets their affordability requirements, the customer can nominate the dwelling they are seeking within a given development. Ballot applications being open for a set period of time, before the applicants are drawn and notified if successful.

Question 21

Who can I go to if I have questions about Ownlea in general?

Accepted Answer

If you have any questions, please email as directly at register@ownlea.com.au

Question 22

What are the upfront costs and fees?

Accepted Answer

We charge an establishment fee payable in two portions – at the signing of the agreement to secure the property and then upon the property becoming available. The fee will vary depending on the value of the property, but for guidance typically it will be around 2.5% of the property price.

Question 23

Do I need to pay stamp duty?

Accepted Answer

Yes - stamp duty is tax that state and territory governments charge for certain documents and transactions. The Ownleaship agreement triggers stamp duty, which is covered by the establishment fee. Separately, when you elect to purchase the property, this purchase will be subject to stamp duty. Depending on your circumstances, certain concessions may apply. We would encourage you to talk to a legal professional for clarification regarding your individual stamp duty requirements.

Question 24

Is Ownlea just for apartments, or are the houses available too?

Accepted Answer

The beta phase of Ownlea will start with apartments. Moving forward, we intend to expand the Ownlea platform to include terraces and houses.

Question 25

Are Ownlea Properties off the plan, established, or a mix?

Accepted Answer

Ownlea will provide off-the plan, new-build and established dwellings through the platform. While existing products will be available sooner, off-the-plan products will have the advantage of being securable at an early stage, giving more time for the market to potentially appreciate.

Question 26

What savings goals does Ownlea offer?

Accepted Answer

Ownlea offers three tiers of savings goals – Renters, Savers and SaversPlus. The higher the savings target, the more discounted the property will be the purchase. In other words, we want to reward tenants who can save faster and purchase sooner.

Question 27

What are the eligibility requirements?

Accepted Answer

For us, affordability is key – we want to ensure that the property is one that you can comfortably afford, both through the Ownleaship Agreement and beyond.

Eligibility is subject to an assessment of income and cost of living allowances, among some other criteria.

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