Territory Stories

Discussion Paper Northern Territory Shared Equity Home Ownership Scheme

Details:

Title

Discussion Paper Northern Territory Shared Equity Home Ownership Scheme

Other title

Tabled Paper 662

Collection

Tabled Papers for 5th Assembly 1987 - 1990; Tabled Papers; ParliamentNT

Date

1988-11-22

Description

Tabled by Daryl Manzie

Notes

Made available by the Legislative Assembly of the Northern Territory under Standing Order 240. Where copyright subsists with a third party it remains with the original owner and permission may be required to reuse the material.

Language

English

Subject

Tabled papers

File type

application/pdf

Use

Copyright

Copyright owner

See publication

License

https://www.legislation.gov.au/Details/C2021C00044

Parent handle

https://hdl.handle.net/10070/297918

Citation address

https://hdl.handle.net/10070/387937

Page content

APPENDIX 1 SALES PRICE POLICY 0) It is current policy that all Housing Commission dwellings be sold at market value, except where the construction cost is higher than market value. In this situation the sale price is based on the total cost to the Commission of constructing that dwelling. It could be considered unjust to require potential purchas ers to pay more than the current market value and could also be considered an unwarranted bias on market forces. The effect of the cost price policy is particularly evident for newer dwellings in the currently depressed market place. Apart from the affordability problem (lenders will only lend to a percentage of market value, regardless of construc tion costs), potential purchasers are reluctant to buy a dwelling at a price which represents an immediate capital loss. To sell at market value only would provide an incentive for those people who could afford full or partial home owner ship through the Interest Subsidy Scheme or Shared Equity Scheme. This would impact favourably on areas which have predominantly Housing Commission-owned housing.