NRAS FACTS

ADDITIONAL FACTS ABOUT NRAS

• NRAS dwellings are private property.
   
• No Government has caveats or claims over NRAS properties.
   
• NRAS homes are often ‘bundled’ with non-NRAS properties – that is, private properties subject to an NRAS Incentive may form a part of a new multi-storey development, with the other properties sold off-the-plan to homebuyers.
   
• An offer of an NRAS Incentive can help with pre-sales figures.
   
• Most NRAS dwellings can be sold without penalty during the 10 year period for which an NRAS Incentive is payable when:
  (a)  a dwelling can be sold to another investor who gives contractual undertaking to comply with NRAS obligations; or
  (b)  an equivalent dwelling can be offered as a substitute dwelling for the remaining part of the 10 year period, with approval from the Australian Government.

• At the end of the NRAS 10 year period, investors have the discretion to do what they want with their properties. They could sell any or all of the properties, or retain them and revert to market rents.
   
• The Australian Government has made a 10 year commitment to NRAS. The Scheme is managed and regulated under the legislative framework provided through the National Rental Affordability Scheme Act 2008.

Reference: Australian Government “National Rental Affordability Scheme – Information for Banks and Financial Institutions” 2010

http://www.environment.gov.au/housing/nras/investors.html
http://www.environment.gov.au/housing/nras/publications/policy/index.html

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