We help buyers across Australia and New Zealand secure property with the right Deposit Bond offering choice from a trusted panel of providers so you get the best fit for your purchase, not a one-size-fits-all solution.
Why Are Deposit Bonds Suitable for Off the Plan Purchases?
Buying a property off the plan, such as an apartment under construction, can mean long settlement timeframes. By paying the deposit with cash, this cash is tied up for a long period of time when it could be better served elsewhere.
A long term deposit bond is available up to a term of 66 months and allows you to secure a property without needing to sell investments, withdraw savings and sacrifice interest earnings or borrow money. At the time of settlement, you would then pay the outstanding balance to complete the purchase including the deposit.
Our Client Story
Masoud was wanting to purchase an off-the-plan apartment on the Gold Coast. The property had a long settlement time of potentially 5.5 years, represented by the sunset date in the contract. Whilst Masoud was very fond of the apartment, he was not interested in using his cash for the deposit and have it tied up for potentially five and a half years.
With a deposit bond, Masoud recognised he was able to secure the property without having to use his own cash or liquidate other assets.
Within 48 hours of submitting his application, Masoud was approved for a long-term deposit bond. He used this to exchange on the property in lieu of a deposit and not have to have his cash locked away for an extended period of time.