A straightforward, transparent process, with no pressure.
Obligation-free initial discussion
Meet with one of our specialists in the privacy of your own home. We will explain how Homesafe Wealth Release® works, answer your questions, and confirm whether you are likely to be eligible — no commitment required.
Receive your personalised estimate
If you would like to proceed, we will prepare an estimate showing the lump sum available to you and the capped share of your home's future sale proceeds that Homesafe would receive. We will also provide hypothetical projections in relation to the future sale price and sale date of your home.
Valuation, Independent legal advice, then funds provided.
To proceed to the next step we will organise an independent valuation of your home and approve an Offer to you. If you decide to proceed with a Homesafe Contract you would then engage your own independent legal advice in order to review and before you sign the necessary documents. Once finalised, the funds will be released to you.
Homesafe Wealth Release® is a debt free equity release solution and is not a loan or a reverse mortgage.
Rather than borrowing against your home, Homesafe Wealth Release® enables you sell a capped share of the future sale proceeds of your home in exchange for a cash payment today. Because it is structured as a property contract rather than a loan, there is no debt, no compounding interest charges, and no repayments to make.
How The Arrangement Works
- As a Homesafe customer you enter into an uncompleted property contract, with all the relevant protections under property law, and can sell a capped share of the future sale price of your home.
- Based on the capped share of the future sale price of your home that you decide to sell, your age and the value of your home today, Homesafe will make an offer to you for an up front cash amount for that future share.
- There are no repayments and no ongoing fees or charges.
- You decide when to sell your home (which may be many years down the track) then, and only then, Homesafe would receive its share of the sale proceeds of your home.
- If you sell earlier than anticipated by Homesafe, you may be entitled to an Early Sale Rebate — which means Homesafe would receive less than the capped share you have sold to Homesafe.
- At the time of sale, Homesafe will calculate its share of the sale price based on the share you have sold and calculate the Rebates available to you. Homesafe receives its share of the sale proceeds (less any rebates) from the purchaser of your home.
- Because Homesafe's entitlement is a percentage of the future sale price, both parties share in the property's performance over time — if your home grows in value, both you and Homesafe benefit from that growth; if the value falls, Homesafe's share also falls in dollar terms.
The Basic Fundamentals Of The Homesafe Contract:
- You retain the right to live in your home for the rest of your life, or rent it out and keep the rent.
- The amount that Homesafe provides to you today is less than the same share of the property's value today as Homesafe is buying a share of the future value of your home and that is unknown today.
- Homesafe determines how much it can provide to you in cash today (or if you know the cash amount you want to receive today, the equivalent share of the future sale proceeds this converts to) based on the age of the homeowners and the value of the property today.
- In doing so Homesafe makes certain assumptions as to how long the Contract may be in place — which could be up to 20 years — depending on the ages of the homeowner(s) today.
- The Early Sale Rebate provides a fair outcome for all parties and Homesafe may receive less than the capped share depending on when the home is sold and for what value.
- Homesafe does not automatically receive the full capped share. The capped share is the maximum; if you sell earlier than assumed, the Early Sale Rebate reduces Homesafe's share, and the earlier you sell, the larger the rebate.
How the Early Sale Rebate changes Homesafe's share — an example
When you enter a Homesafe Wealth Release® contract, the capped share of sale price is the maximum share of your home's future sale proceeds that Homesafe can ever receive. You only reach that maximum if you stay in your home for the full period we assumed when pricing your lump sum. If you sell earlier, the Early Sale Rebate reduces Homesafe's share — and the earlier you sell, the larger the rebate.
Here is an illustration. Figures are examples only; your own contract will state your actual capped share of sale price and rebate.
Example homeowner: female, age 70, home value today $1,000,000, lump sum received $150,000, capped share of sale price sold to Homesafe: 32.5%, Early Sale Rebate period: 12 years, assumed property growth rate: 4% per year.
| If the home is sold in… | Early Sale Rebate applies? | Homesafe's Reduced Share* (after rebate applied) | Share of the sale proceeds returned to you |
|---|---|---|---|
| Year 2 | Yes — largest rebate | 18% | 67.5% unsold share + 14.5% rebate = 82% |
| Year 5 | Yes | 21.5% | 67.5% unsold share + 11% rebate = 78.5% |
| Year 8 | Yes — smaller rebate | 25.9% | 67.5% unsold share + 6.6% rebate = 74.1% |
| Year 12 or later | Rebate period ended | 32.5% (the capped share of sale price)† | 67.5% unsold share = 67.5% |
* Reduced share = the capped share of sale price after the Early Sale Rebate is applied. This table is provided for illustrative purposes only and the outcomes may vary for each Homesafe customer.
† In this example, Homesafe can never receive more than 32.5% of the sale price in the future.
What this shows: Homesafe does not automatically receive 32.5% the day after you sign. The full 32.5% only applies if you remain in your home beyond the rebate period. If you sell in year 5, in this illustration, Homesafe's share is around 21.5%, with the rest staying with you or your estate.
Your Homesafe specialist will show you the actual capped share of sale price and the Early Sale Rebate schedule that would apply to your property and age, in writing, before you sign anything. Independent legal advice is mandatory and financial advice is highly recommended.
Your rights as the homeowner
- You remain the registered owner of your home.
- You have the right to continue living in your home, or to rent it out and keep 100% of the rental income.
- Moving into aged care does not trigger a forced sale.
- You can buy back the share you sold at any time.
The upfront cash payment is less than the current market value of the share you sell, because Homesafe is purchasing a future share whose eventual value is unknown. Offers are based on actuarial assumptions about how long the contract may run, and the Early Sale Rebate is designed to support a fair outcome for everyone involved.
The process
Enquiry
We start with a no-obligation conversation when you contact us. We run through some preliminary questions — your age, postcode, who is living in the home, property type and any existing debt — to confirm whether Homesafe Wealth Release® may suit your circumstances, and arrange an appointment in your home with a Homesafe specialist.
In-home appointment
One of our specialists meets with you in the privacy of your own home (for approximately one to one and a half hours). We explain how the Homesafe Contract works and walk you through worked examples of the Sale Interest and rebates. You are encouraged to invite family members or advisers to join for all discussions with Homesafe.
Independent valuation
An independent valuer visits to determine the current market value of your home. You receive a copy of the valuation report and are welcome to provide feedback or additional information.
Formal offer
Homesafe prepares a written, non-binding offer to you (eg with the amount you are looking for and the corresponding share of the future sale proceeds of your home) based on the valuation. Your Consultant presents the offer to you in person and answers any questions. If you decide to proceed, then you will appoint your own Solicitor to act on your behalf.
Independent legal advice & contract
Independent legal representation is a required part of the process. Your Solicitor reviews the Homesafe Contract with you and you will provide a Statutory Declaration to Homesafe confirming that you have been explained the terms of the Contract, its protections, and how it may affect your estate planning, before the documents are signed by Homesafe. Once documentation is finalised, funds will be made available to you.
Things to keep in mind
Homesafe Wealth Release® is currently available to eligible homeowners in selected areas of Australia. Whether it is suitable depends on your individual circumstances, which is why independent legal advice — and, where relevant, financial or Centrelink advice — is built into the process.