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CBA’s business banking leg has agreed to accept pre-sale contracts for housing developments entered into through fintech platform Coposit, which allows buyers to put down deposits as small as $10,000. 

The buyer then makes weekly payments to Coposit while their apartment or townhouse is being developed, leaving them with a 10% deposit by the time they're ready to settle on the property.

The innovation could provide a dual benefit to hopeful homeowners, allowing them entry into the market sooner and speeding up the process of building new developments.

“By accepting Coposit contracts CBA is delivering greater certainty for property developers, who can include these sales in their pre-sale hurdles when seeking financing of their property projects,” CBA group executive of business banking Mike Vacy-Lyle said.

“This is an important step in facilitating better lending outcomes for new residential developments, to help fast-track new supply to the market.”

Previously, a certain number of buyers would need to put down deposits worth at least 10% of the value of an apartment or townhouse in order for a lender to provide funding to a developer. 

That requirement has traditionally been a barrier for developers looking to break ground on new housing projects.

It also meant buyers were often asked to cough up tens of thousands of dollars years before they could expect to get the keys to their new pad. 

“As Australia's largest bank, [CBA has] really expressed an interest in ensuring there are different and innovative ways for people to get into the market,” Coposit CEO and co-founder Chris Ferris told Your Mortgage.

“Now, with Coposit, the playing field has been levelled and everyone has the same ability to access property.

“I think it's definitely going to open up the market to an additional cohort of buyers that may have been locked out and [are facing] moving goalposts, which is a huge problem in the market.”

Coposit comes at no cost to a home buyer, with the fintech taking its revenue from developers listing projects on the platform. 

Those who have signed a pre-sale agreement through the platform will earn interest on the funds kept within it prior to a property's settlement, in a similar way they might earn interest by saving into a savings account.

Once a development has been completed, a buyer will then turn to a home loan lender to source a mortgage

Coposit vets all those applying to use the service to ensure they can ultimately settle their property purchase on the completion of their apartment or townhouse. 

“Housing affordability and undersupply are some of the most pressing issues nationally, requiring a multifaceted approach involving innovative, sustainable solutions and cooperation between all industry stakeholders,” Mr Vacy-Lyle said.

“Initiatives like this could make a real difference, particularly for first home buyers, by allowing them to secure the purchase of their first home while continuing to save for the initial deposit until the property is built.”

Coposit has 65 projects on boarded to its platform, located across NSW, Queensland, and the ACT.


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LenderHome LoanInterest Rate Comparison Rate* Monthly Repayment Repayment type Rate Type Offset Redraw Ongoing Fees Upfront Fees LVR Lump Sum Repayment Additional Repayments Split Loan Option TagsFeaturesLinkCompare
6.04% p.a.
6.06% p.a.
$2,408
Principal & Interest
Variable
$0
$530
70%
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5.92% p.a.
7.57% p.a.
$2,885
Principal & Interest
Variable
$0
$400
95%
5.99% p.a.
5.90% p.a.
$2,396
Principal & Interest
Variable
$0
$0
80%
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5.99% p.a.
6.04% p.a.
$2,396
Principal & Interest
Variable
$0
$300
60%
5.99% p.a.
6.04% p.a.
$2,396
Principal & Interest
Variable
$0
$500
60%
6.14% p.a.
6.16% p.a.
$2,434
Principal & Interest
Variable
$0
$350
60%
6.14% p.a.
6.39% p.a.
$2,434
Principal & Interest
Variable
$248
$350
70%
Important Information and Comparison Rate Warning

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of .

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