Living in one, renting two

Many first home buyers have saved a deposit but fall just short on servicing under bank lending rules. Rising interest rates and tighter borrowing requirements mean that even financially responsible buyers can miss out.

Hybrid Housing offers a different structure: you live in one private suite and rent out the other two. The rental income from the two additional suites may be taken into account by some lenders, so it is worth discussing with your broker.

Income support without giving up privacy

Because each suite is self-contained or semi-contained, you keep your own private living space while the other suites are let to tenants. Owners can:

• Keep their own private living space

• Rent out the two additional suites

• Reduce day-to-day mortgage stress

• Build equity sooner

A stepping stone

Supplementary rental income can help you pay down your loan faster and improve your financial resilience. Over time the home can change as your circumstances do: you might keep the hybrid model, convert the spaces as your needs change, or use the equity you have built towards your next home.

It is more than buying your first home. It is a stepping stone to long-term financial security.

General information only. It is not financial, lending, tax or legal advice. Whether a Hybrid Housing home can be built or used in a particular way depends on the land, its zoning and land use, and the requirements of the relevant local council, and some properties may require council approval. You should make your own enquiries with the relevant council and obtain independent advice from a licensed broker, accountant, solicitor or other qualified professional about your situation before relying on this information or making any purchase.