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1. |
Two forms of assistance to purchase or sell a home are
available to a member or their dependants when they are posted in |
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a. |
A one-off payment to assist them to purchase a home. The home must be in their posting location and they must live in it. This payment is made under the home purchase assistance scheme (HPAS). It is payable once only during a member's ADF service. |
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b. |
Reimbursement to the member of the reasonable costs for selling a home and purchasing another home they will live in on the next posting. This assistance is given under the home purchase or sale expenses allowance (HPSEA). |
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Note: HPAS replaced the initial purchase element of HPSEA for the first purchase on or after 1 July 2000. HPSEA applies for sale-purchase after the initial payment under HPAS. |
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A member who purchases their first home under HPAS then enters into a following sell-purchase-sell home ownership cycle. Each time they purchase or sell another home on a posting, they can be reimbursed the reasonable costs involved. Time limits apply. This does not mean that a home must be sold or purchased following each posting. This is the member's choice. However, continued eligibility depends on a member maintaining the cycle of sell-purchase-sell. Some exceptions apply. |
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This Part applies to a member on continuous full-time service who meets either of these conditions. |
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a. |
At the time of purchasing a home, it is expected that they will continue to serve in the posting location for a further 12 months. |
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b. |
At the time of purchasing a home, they are a member with dependants (unaccompanied) and it is expected that they will keep that category for a further 12 months. |
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This Part does not apply to a member on either of these kinds of service. |
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a. |
Reserve service. |
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b. |
Continuous full-time service for less than 12 months. |
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Note: Clause 1.6.1 deals with situations where a member's adult dependant is also a member, and they would both be entitled to assistance with purchase or sale of a home. Only one of the members is entitled. See: Chapter 1 Part 6 clause 1.6.1, Dual entitlement – member's adult dependant is also a member |
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This Part includes the following Divisions. |
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Initial
home purchase (clauses 6.2.7A to 6.2.14) |
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This table defines the terms that apply to this Part. |
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Term |
Definition in this Part |
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Agent |
A person or organisation who is doing one of the following. a. Conducting business as a real estate agent. They must be registered or licensed if that is required by the law of the state or territory where they do business.
b. Acting on behalf of an eligible person for the mortgage, purchase or sale of a home. |
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Auctioneer |
A person conducting business as an auctioneer. They must be registered or licensed if that is required by the law of the state or territory where they do business. |
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Date |
For a purchase or sale, the date the member first signs a contract for the transaction. |
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Eligible person |
A member or their dependant. |
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Home |
A dwelling in Australia. This includes a flat or
other dwelling forming part of a building. It does not include a c a. For a member's own home, ownership exists when one or a combination of these people hold an interest as an owner of the home. i. The member. ii. A dependant of the member. iii. A company, trust, partnership or joint venture that the member or their dependant hold a controlling interest or equal share in.
b. The interest can be a controlling interest or an equal share. Example: Three members buy an equal third share in a home as tenants in common. They rent it when posted out of the home's location. When one of the members returns to the home's location, they are seen to own the home.
c. The interest in the home may be legal or equitable. Example: The member is the sole beneficiary of a trust. Their dependant is the trustee who holds the legal title. The home is still the member's because they have an equitable interest in it.
See also: Chapter 7 Part 2, Suitable own home |
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Land broker or conveyancer |
A person licensed or authorised under the law of a state or territory to transact business relating to the registration of titles to land. |
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Posting |
A posting that a Service authority intends should last at least 12 months. |
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Previous entitlement |
a. For Division 1: either of these payments. i. Home purchase or sale expenses allowance (HPSEA) for a first home on or before 30 June 2000. ii. Payment under the home purchase assistance scheme (HPAS) on or after 1 July 2000.
b. For Divisions 2 and 3: the reimbursement to the member of expenses the member was most recently entitled to, before or after 1 July 2000. |
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Professional fees and disbursements |
Fees for work performed by a solicitor, land broker or conveyancer. The fees must relate to a sale or purchase and related disbursements. They include fees for a valuation, pest inspection, building inspection, survey or similar. They do not include a procurement fee for arranging or negotiating a mortgage. The fees may be incurred by the solicitor, land broker or conveyancer on the member's or eligible person's behalf. This also includes mandatory fees imposed by relevant State or local authorities. |
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This table defines the location where the entitlement arises. |
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Item |
If the member is… |
then the entitlement is located… |
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1. |
a member with dependants (unaccompanied) |
where the dependents live. |
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2. |
a member who is unaccompanied, but not a member with dependants (unaccompanied) |
where the member is posted. |
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3. |
another member |
where the member is posted. |