Sydney proptech Coposit has cracked the deposit-saving barrier with its pilot project after almost 80 per cent of buyers used the unique platform to secure an apartment in the third stage of developer, Civic Properties $56 million The George project at Seven Hills.
The result is a milestone for Coposit which has revealed that property buyers have shunned the traditional home deposit system for this project by using Coposit to pay their deposit in regular instalments prior to settlement.
Most of the Coposit users buying at The George, some 70 per cent, were first-home buyers who combined Coposit with their first-home owners grant to secure a property within the project and get on the property ladder.
Almost a quarter (23%) of third-stage buyers, all of whom have now settled their purchasers, say they could not have proceeded with their purchase without Coposit.
Civic Properties’ The George launched in 2021 as the first project for the Coposit app, which is now been used across over 25 developments comprising 1,400 properties being delivered on the eastern seaboard by major developers such as Third.i, Mulpha, Geocon and Goldfields Group.The George by Civic Properties
“Coposit has been a huge success for The George development by opening up opportunities to buyers who would otherwise not have been able to get a foothold on the property ladder,” said Coposit CEO Chris Ferris.
“Many first-home buyers at The George were able to take advantage of government incentives, and every buyer who secured a property using Coposit settled their purchases.
“One buyer would not have been able to buy at all without the help of Coposit, but by settlement he was also able to take advantage of the $10,000 first-home buyers grant, zero stamp duty, and a lenders mortgage insurance waiver.”
Coposit is designed to level the playing field for property buyers, allowing them to secure their new home with a fraction of the deposit upfront. Once the contract is signed, the buyers make weekly instalments towards the deposit, known as ‘coposits’, over the course of construction.
The George at Seven Hills in Sydney’s west comprises 97 apartments offering one-, two and three-bedroom designs that are priced from $450,000 to $750,000.
The pilot project delivered the overwhelming majority of sales for The George, with 78 per cent of buyers electing to purchase using the Coposit process rather than the traditional 10 per cent deposit upfront.The George by Civic Properties
Since launching with Civic Properties, Coposit has been rolled out by multiple developers on projects located in NSW, Victoria, the ACT and Queensland. Buyers have been using the system to secure house-and-land packages, townhouses and apartments ranging in price from $450,000 to $2 million.
“There are benefits for developers as well as buyers who adopt the Coposit system,” said Mr Ferris.
“Developers using Coposit are more likely to maintain their asking prices, because it is an incentive for buyers to get into the market more readily.
“Developers are also reporting that Coposit has increased the speed of pre-sales which has enabled them to start construction sooner, reducing holding costs and project sell down periods.
“The early success of our pilot project has led the way for more developers to get aboard. We see this as just the beginning for Coposit. For property buyers, especially first-home buyers, they are getting into their home a lot quicker than it takes to save a deposit while waiting for the project to be built.”
Since the pilot project, Coposit is now available in 30+ projects which also include house and land offerings, across the Eastern Seaboard.The George by Civic Properties
If you are a first-time buyer looking to get onto the property ladder, or if you’re interested in securing an investment property to grow your portfolio, download our app today and get started! With Coposit, owning your dream home or expanding your investment portfolio has never been more accessible. Take the first step towards achieving your property goals with Coposit and join the growing number of Australians who are revolutionising the way they buy properties.