Selling to the defence force

Hi all,

I'm looking into selling a brand new house built in Salisbury East, SA. Is selling to the defence force a good option? Do they give you a better price than other buyers, or are there any other benefits? Any advice appreciated!

Thanks in advance!

 

I think you need to figure out what the property is worth by comparing it to the rest of the market. If the Defence Forces offer that much or more, then take it. Otherwise sell it on the open market.

The only benefit I can see is that the Defence Forces would make an offer without a finance clause. They'll likely have set terms which may or may not suit you.

 

Defence Housing wont overpay. They are asute investors.

 

Or you could aim the sale at a direct purchase by a defence member. Target some advertising to the assistance they can use? HPAS HPSEA DHOAS Removal.

 

No inclination to purchase when Defence pays the majority of the rent in many instances, also they are often required to relocate so would be stuck with a house in the middle of nowhere.

 

That's simply not true.... what is your basis for such a comment?

 

Previous dealings with DF personnel who have served OS on various deployments in the Middle East. Some were reimbursed 75% of their rent as it was for storage of their personal items, there was a lack of accommodation at the base & there was an operational requirement to be within 15 minutes of the base. They also require a lease break clause in case of deployment.

So absolutely baseless posturing.

 

Agree with your last statement.....

ADF personnel have a number of home ownership incentives you've obviously never heard of.

Defence policy is for an averaged 50% rental subsidy so very few would be getting 75% subsidies.

Very very few ADF members need to be 15 mins from base.

Don't ask me how I know because I can't tell you....

 

@Indifference

I've only rented to & for a few (so a small sample) - ownership only came up in terms of they needed the flexibility

Maybe I only dealt with a few of the lucky ones who had higher subsidies & needed to be very close. Mind you, they were model tenants as they said that they could not bring their unit into the spotlight.

 

There are multiple benefits, different jobs, and individual requirements. However knowing the area and who has money in the area is a different story. You can't sell to defence, it is DHA who provide housing. They have strict requirements and as Paul mentioned astute.

However if you think you might have a better sale to a defence member, consider including some benefits of leaving DHA/RA. Free full removal to the property. HPAS, for the stupid high SA stamp duty. No more property inspections or DHA maintenance issues. Ability to fit solar. HPSEA when posting to a new location. And taking advantage of the PPOR CGT exemption. Just some ideas to target marketing.