To own a home is the great Australian dream, but even retirees who own their home sometimes find it difficult to cover daily living expenses and unexpected costs.
Equity release products, such as those offered by DomaCom allow seniors to sell part of their property to one or more investors.
The home’s title stays with the owner and they do not incur debt. The owner can continue to live at the property for as long as they want.
The financial products are registered with the Australian Securities and Investments Commission. They operate in a similar way to a syndicate, with investors owning a fraction of the property’s equity.
When the senior decides to sell the property, they receive their proportion of the net sale proceeds, while the investors take a share in proportion to the amount they invested.