DVD Transcript – An Introduction to Home Ownership on Indigenous Land
This is a transcript of Indigenous Business Australia’s seven minute DVD ‘An Introduction to the Home Ownership on Indigenous Land Program’. There are three speakers; a representative of IBA, identified as Speaker A, and two IBA home loan clients identified as Speaker B (Naomi) and Speaker C (Delwyn).
(Background music plays throughout the DVD, but there are no other external sounds.)
Speaker A: IBA representative
In May 2008, the Queensland Government changed the law to allow Trustees of Indigenous community lands to issue 99-year leases to local people who wish to buy or build their own homes.
This DVD is about home ownership, and how you can obtain a lease and apply for a home loan.
Indigenous Business Australia, or IBA as it is known, has established the Home Ownership on Indigenous Land Program, or HOIL.
This program provides low interest home loans, incentives and support to individuals and families to buy homes in their communities. There are many benefits to owning your own home such as:
- not paying rent
- having something to pass down to your children
- more independence and control over your lifestyle, including being able to leave your community for work or personal reasons, and knowing you have a home to come back to; something you can’t always do with a rental
- you may also be able to make improvements or extensions to your home.
Speaker B: Naomi – IBA client, standing outside home purchased through IBA
Our involvement with IBA began when we first started thinking about buying a home, not long after we were married. We found out we were pregnant a few months later, which was exciting, and we decided to approach them about getting a home loan.
Getting the home loan with IBA made a massive change in our lives. It’s a wonderful feeling to be able to come home to your own space, to your own piece of land, to your own home that you can do whatever you like to. It gives you a feeling of empowerment and makes you feel as though you can do anything. And it’s such a wonderful way to start a family and to build a happy life for your children, and hopefully give them a successful loving home.
Speaker C: Delwyn – IBA client, standing in kitchen of home purchased through IBA
We were actually renting from a housing co-op. We were with them 10 to 11yrs, then we decided to apply for a housing loan through IBA.
With the housing co-op you didn’t really own the house; even though we were there for a number of years, we had to get permission to paint the walls or, if you wanted to do any changes to the house, you know, we had to get approval for it. Whereas now with an IBA home, it’s ours so we can paint the walls, do extensions, all that kind of stuff.
Owning my own house makes me feel…like it gives us a bit of pride. It’s security for us and security for our children.
Speaker A – IBA representative
Owning your own home does come with responsibilities. You will have to take care of it and pay for any maintenance and repairs yourself. You will also have to pay council rates and building insurance.
Buying your home can be expensive so it is important to make sure you have enough money to meet the cost of living after you pay your home loan repayments.
A home loan will usually last for 20 to 30 years. IBA will help you look at your budget, and in some communities money management education programs have been set up to help you learn more about budgeting and saving.
The HOIL Program includes help with the upfront costs of buying a home such as legal advice, surveys, conveyancing costs, insurance, stamp duties, wills and property valuations.
Some people may also be eligible for the First Home Owner’s Grant, which can go towards reducing the amount of money you need to borrow. The HOIL program can also help you pay your home loan off sooner by providing eligible applicants with discounts and grants. For example, good renters may be eligible for a grant of up to 20% of the value of the house to a maximum of $50,000.
IBA staff can talk to you personally about the home loan package details, including the interest rates and grants that may apply to your circumstances.
The trained staff at IBA can work out how much you can borrow, and how much you can afford in loan repayments and still have enough money left over for living expenses. The maximum amounts that a borrower will repay on their home loan each fortnight will be based on their income and other debts.
Applicants will need to be able to show a good credit history and a satisfactory tenancy record. Starting interest rates will depend on the borrower’s income, but will always be lower than standard bank interest rates.
To find out more about how much you may be able to borrow from IBA, just visit your local shire council office and pick up a Loan Application Form and Confirmation of Aboriginality Form. Once you have completed the forms simply post them back to IBA with all the relevant information and we will be in touch with you.
If you are interested in buying or building a home, you also need to apply to your trustees for lease over the land. To do this you can obtain an Expression of Interest Form from your local shire council office. Once you have filled out the form, simply drop it back to the council office.
Once you have lodged your Expression of Interest Form, the property will be valued so you will know how much it’s worth.
The valuation of the property will be organised for you, so you don’t have to worry about this, and IBA can also assist you with costs involved.
A support unit to help with the process of leasing land for the purpose of owning their own homes in Indigenous communities has begun operations in Cairns. The Indigenous Land Trustees Support Service Unit in the Department of Natural Resources and Water aims to assist the Trustees of Indigenous lands to grant and administer leases.
The unit is responsible for:
- providing advice and responses to leasing requests
- assisting in the processing of lease applications
- contributing to the preparation of manuals and supporting materials, and
- providing training to increase Trustees’ capacity to engage in leasing processes.
Speaker B: Naomi, IBA client, standing outside home purchased through IBA
It’s necessary for us to be able to get on an equal footing with non-indigenous Australians; to be able to raise our families in homes that we can own on our own, so we can build better lives and better educate each other to be more successful.
Speaker A: IBA representative
The staff at IBA understand that family circumstances can change, making it harder to meet financial commitments. IBA maybe able to look at changing your loan conditions to help through these difficult times.
Speaker C: Delwyn, IBA client, standing in kitchen of home purchased through IBA
I think the situation would have been – if we didn’t have IBA’s help – we could have been renting for the rest of our lives.
When I first picked up the phone and they told me we got it, I was excited. And then it was a bit daunting after a while ‘cos you go through the whole process of all the paper work. But then you look at it the other way; it’s a home for us that we can build on and provide for our family and my children’s family.
If people are wanting to get into owning their own home, I reckon IBA is the first step – you should be contacting them.
Speaker A: IBA representative
If you would like to know more about home ownership options in your community please call toll free 1800 107 107*, and local IBA staff will be more than happy to help you. Or visit our website at www.iba.gov.au.
End of transcript.
*Please note: Calls to 1800 numbers from mobile or public phones may be charged at a higher rate.