Program Overview

LIFEorg is developing the LIFE 4 Homelessness program which promises to significantly reduce the incidence of homelessness in Australia, and provide a global blueprint for reducing homelessness globally.

Our Solution

At the heart of the program is the combination of modular housing solutions, coupled with relatively easily accessible income contingent loans. By combining low cost modular homes, usually around $50,000 - $80,000 ready to move in, with a low interest, income contingent loan available to anyone receiving a Services Australia payment we have the potential to make moving into a clean, comfortable and modern dwelling with a pathway to home ownership possible for all Australians in the near future.

Financial Model

For example, if the total cost of the residence is $120,000 when land, home, gardens and amenities are included, a 25 year loan at 5% interest can be provided for a monthly repayment of $468. If recipients are receiving a Services Australia payment such as JobSeeker, the Disability Pension or the Age Pension, then they will have a minimum of approximately $1,400 monthly income on JobSeeker, and more for pension payments. This means that after paying the cost of the loan they will have at least $900 remaining for groceries, entertainment and other expenses. This makes the model feasible without significant public grants or financing.

Instead, we will seek private funding for these loans as they are low risk, due to the assured nature of the recipient's income.

About LIFEorg

LIFEorg is an upcoming nonprofit dedicated to creating poverty alleviation solutions globally. We very much look forward to working together to create a solution for people who are currently long-term homeless in Australia and would like a financially feasible pathway to home ownership.

Because of the non-requirements for public grants, this solution is scalable and therefore there is no upper limit to the number of people for whom housing can be provided. Therefore we believe it is a valid and important solution in the mix of solutions for ending homelessness in Australia.