Buying your rental home
Information for Queensland public housing tenants
The Queensland Government encourages tenants to become home owners.
The Sales to Tenants program gives public housing tenants the chance to buy the department-owned home they rent, if it’s for sale.
If you’re a public housing tenant thinking about buying your rental home, this information outlines some things for you to consider before making your decision.
Deciding whether to buy
Can you afford to buy?
When you buy a home, you have an asset that could provide security for your future.
However, owning a home is different than renting. You have to pay rates, maintenance, insurance and loan repayments. These costs could be more than your current rent.
Is your rental home for sale?
Some public housing rental homes may not be for sale.
Homes that are generally not for sale include:
- those in high-demand areas, especially inner-city suburbs
- those on sites that could be redeveloped in the future
- townhouses, units, duplexes and cluster houses
- homes that are less than 10 years old
- homes that have been modified or adapted to meet the needs of people with a disability.
Are you eligible to buy your rental home?
You may be able to buy the home you’re renting if all the following conditions are met.
You:
- are an Australian citizen or permanent resident
- are the current tenant of the property
- have lived in your rental home for at least 3 months
- have a good rent payment history with no ongoing late payments or arrears
- do not own any other house in Queensland or elsewhere
- intend to live in the home and not use it for any other purpose.
Purchase price of your rental home
We aren’t able to tell you the purchase price until after you apply to purchase the property and pay the administration fee.
We first need to determine if the property is suitable for sale and then obtain a valuation. This may take up to 15 business days.
We refund your administration fee if we find out your rental home isn’t for sale.
If the home is for sale
If your rental home is available for sale, we have an independent valuer inspect the home to determine a fair market value and give you an offer in writing.
You then have one month to accept our offer to sell you the home.
Improvements
If you’ve made any major improvements to the property, such as a carport, you need to have approval from us and the local Council if required.
The valuer assesses the value of these improvements, and the department may adjust the sale price.
Note: Not all improvements increase the value of a property.
Previous rent
The amount of rent you’ve paid during your tenancy doesn’t affect the sale price.
Finance
You need to decide how to finance your purchase in a way that’s best for you. Learn more about getting finance.
Lender requirements
If you’re borrowing money to buy your rental home, your lender usually needs your savings history and a deposit.
The amount of deposit you need will depend on various factors, including the:
- price of the home
- amount you can borrow
- lender you borrow from.
Most lenders ask you to pay a deposit of 5–20% of the purchase price.
Queensland Government loans
We offer a range of home loans, including loans for our tenants who are buying their rental property.
For more information, see:
- Queensland state housing loan (which doesn’t need mortgage insurance)
- Pathways Shared Equity Loan.
For details, call our Information Hotline on 1300 654 322 (option 1).
Indigenous Business Australia loans
Aboriginal and Torres Strait Islander people may be eligible to access home loans from Indigenous Business Australia. Contact Indigenous Business Australia on 1800 107 107.
If you’re a customer in the Torres Strait, contact the Torres Strait Regional Authority on 1800 079 093.
Deciding to keep renting
Some people find that they’re financially better off renting. You need to decide the best option for your circumstances.
You are under no obligation to buy your current public housing rental home. If you choose not to buy it, your State Tenancy Agreement continues as usual.
More information
To find out more, call our Sales to Tenants team on (07) 3007 4241.