How it works
Under the scheme, Keystart will enter into contracts of sale with developers to purchase a predetermined number of unsold dwellings within an eligible residential development. This support is intended to help developers satisfy lender pre-sale requirements and secure construction finance earlier. If the committed dwellings are on sold during the construction phase, the Keystart contract will be rescinded.
However, if the dwellings are not on sold after project completion, Keystart will purchase those dwellings at their contracted value a pre-agreed discount to market value at the time of the contract. The minimum discount will be 10% in metropolitan areas, and 7.5% in regional Western Australia.
To qualify for the Pre-sale Guarantee, projects must include a portion of affordable dwellings valued at or below Keystart’s maximum purchase price for our Low Deposit Home Loan product. This value needs to be confirmed by an independent valuer at the time the contract is entered into.