When you choose Melbourne’s first social enterprise real estate agency (not to mention best property management team!) you’re already making a huge difference. However, unlike a mainstream real estate agency, all profits made at HomeGround are reinvested back into your community through the work of Launch Housing. So, you’re helping to end homelessness in Melbourne, at the same time as getting the premium service you are looking for.
If this cause is something you’re really passionate about, we’re thrilled to let you know that there are ways you can do even more.
At HomeGround Real Estate, we have a group of compassionate and generous property owners who have agreed to offer their properties at a discount for low-income earners. We call it our ‘Affordable Housing Initiative’. Housing is considered affordable when it costs no more than 30% of a person’s income. However, for low (or moderate) income earners, few rental properties fall within this range,
increasing their hardship and (often) their risk of homelessness.
We offer multiple options for property owners who want to take that extra step and offer slightly lower rent. The Affordable Housing Initiative refers to those properties that are 10% or more below full market rent. This can make a big difference to a lower-income family… plus you’ll still receive the same premium property management service as always!
If you are in the position to offer properties at a “social rate”, you can choose to offer your property for a weekly rent which is determined by the renter’s income. This means 30% of their income, plus 100% of Commonwealth Rent Assistance.
It’s simply another way that HomeGround Real Estate (and its generous and valued property owners) are helping to create more affordable housing in Melbourne, in the face of a growing housing crisis.
On top of the satisfaction of knowing you’re helping to stop an at-risk family’s worry about finding an affordable home where they’ll be safe. In addition, thanks to an Australian Tax Office class ruling, you can also claim the discount as a tax deduction at the end of financial year. So, if your property is worth $550 p/w at market rent, and you decide to list it at a lower rate of $450 p/w, HomeGround Real Estate will provide you with a donation receipt from Launch Housing (our parent organisation) for $5,200 at the end of financial year. This represents the discount of $100 of rent you have forgone each week throughout the year, in order to provide a more affordable property for a family at risk of homelessness.
This tax ruling is not intended as a financial incentive, but it does seek to recognise your very
generous decision, allowing you to claim the gap between market rent and any discount that you decide to offer.
Please contact your financial advisor or tax accountant for help understanding how this ruling might apply to you and your specific financial situation. Or if you have a property which you would like to offer at a rate below current market rent, please get in contact with the HomeGround Real Estate team, today.
