How FrontYa Works
FrontYa provides half of your purchasing funds to maximise your home purchasing power.
Purchasing funds include the deposit and stamp duty.
There are no application or ongoing fees or monthly repayments.
1. Discover
Use our Calculator to find out how much more you can afford to buy with FrontYa. Or contact our team to learn more.
2. Approve
Apply to FrontYa to double your savings towards your deposit and stamp duty.
3. Purchase
Welcome home! You buy your dream home with the combined funding. You are the sole owner of your property.
4. Independence
Take up to 6 years to sell or refinance your home to pay back the initial money we fronted, plus 25% of the property's increase in value over that period.
An example of how FrontYa can match savings
$160,000
Home deposit & stamp duty without FrontYa
$320,000
With
*These monetary values are for example only.
How FrontYa helped the Taylors*
* Customer names have been changed for privacy reasons.
They were pre-approved for a $1.37m loan but their $125k in savings wasn't
enough to fund the stamp duty and deposit needed. Their options were:
Using their savings of $125,000, the most the Taylors could spend was:
$895,000
Using their savings of $125,000 + $125,000 from FrontYa, the Taylors bought their dream home worth:
$1,525,000
The Taylors were able to buy their dream home using FrontYa!
But what happens when they're ready to sell or refinance their home?
The Taylors would exit with typical home growth (40% is the Australian average over 6 years*) and a net equity of:
+ $445,000
The Taylors would exit with typical home growth (40% is the Australian average over 6 years*) and a net equity of:
+ $490,000
Note: The mortgage balance is assumed constant for simplicity, but the results still apply when it decreases due to principal repayments. For a more detailed example, see page 15 of this Curtin University Report which validates the financial comparison.
* Source: ABS Residential Property Price Indexes: Eight Capital Cities, 1986 to 2021. Calculating the median six-year growth rate.
The Taylors will end up with more equity created
...even after paying out FrontYa!
If there is no growth, the Taylors will only need to provide the FrontYa funding back, nothing more.
With no growth, net equity would be $90,000 without FrontYa and $32,500 with FrontYa.