1 00:00:03,650 --> 00:00:06,230 Sean Aylmer: Welcome to the Fear and Greed Daily Interview. I'm Sean Aylmer. 2 00:00:06,860 --> 00:00:09,860 Sean Aylmer: In the United States, the rent to own sector of 3 00:00:09,860 --> 00:00:12,890 Sean Aylmer: the property market is big business. Rent to own is 4 00:00:12,890 --> 00:00:16,190 Sean Aylmer: effectively a lease agreement where a tenant rents a property 5 00:00:16,310 --> 00:00:18,230 Sean Aylmer: and at the end of a fixed term, they can buy it, 6 00:00:18,230 --> 00:00:21,860 Sean Aylmer: having built up equity over time. Importantly, the purchase price 7 00:00:21,860 --> 00:00:25,430 Sean Aylmer: is agreed before the tenancy even begins. It's a lot 8 00:00:25,430 --> 00:00:27,950 Sean Aylmer: more prevalent overseas and in the US recently, one of 9 00:00:27,950 --> 00:00:30,830 Sean Aylmer: the major providers of rent to own properties was acquired 10 00:00:30,830 --> 00:00:34,580 Sean Aylmer: by Blackstone for around eight billion dollars. But despite soaring 11 00:00:34,580 --> 00:00:36,980 Sean Aylmer: house prices making it tough for first home buyers to 12 00:00:36,979 --> 00:00:40,170 Sean Aylmer: get into the market, the movement hasn't taken off in Australia. 13 00:00:40,490 --> 00:00:43,820 Sean Aylmer: Local startup OwnHome is hoping to change that with the 14 00:00:43,820 --> 00:00:47,479 Sean Aylmer: backing of the Commonwealth Bank's Xccelerate program and now another 15 00:00:47,479 --> 00:00:50,580 Sean Aylmer: $3.6 million dollars from their first capital raise. Tim Harley is 16 00:00:50,580 --> 00:00:53,370 Sean Aylmer: the co-founder of OwnHome. Tim, welcome to Fear and Greed. 17 00:00:53,680 --> 00:00:55,320 Tim Harley: Thanks, Sean. It's great to join you. 18 00:00:55,550 --> 00:00:57,620 Sean Aylmer: Tell me, rent to own. Why hasn't it taken off 19 00:00:57,620 --> 00:00:59,760 Sean Aylmer: in Australia? It sounds like a really good idea. 20 00:01:00,320 --> 00:01:04,340 Tim Harley: Yeah. So it's definitely a question that we've asked ourselves 21 00:01:04,340 --> 00:01:06,980 Tim Harley: and I think even before that is the kind of 22 00:01:06,980 --> 00:01:09,440 Tim Harley: demand for it and what we're seeing here in Australia. 23 00:01:09,680 --> 00:01:12,350 Tim Harley: And so the observation is that it definitely feels like 24 00:01:12,360 --> 00:01:15,229 Tim Harley: first home buyers are priced out of the market and 25 00:01:15,230 --> 00:01:17,780 Tim Harley: so need new paths to homeownership. So I might actually 26 00:01:17,780 --> 00:01:19,700 Tim Harley: just start by painting a bit of a picture of 27 00:01:19,700 --> 00:01:22,509 Tim Harley: that and then we can move into the rent to own model itself. 28 00:01:22,760 --> 00:01:27,590 Tim Harley: So the median deposit is up about thirty-seven times since 29 00:01:27,590 --> 00:01:30,740 Tim Harley: my parent's generation, meaning 60 per cent of first home 30 00:01:30,740 --> 00:01:32,900 Tim Harley: buyers rely on the bank of mum and dad for 31 00:01:32,900 --> 00:01:35,990 Tim Harley: direct cash assistance to buy their home. And so new 32 00:01:35,990 --> 00:01:38,990 Tim Harley: paths to ownership are clearly needed and maybe even kind 33 00:01:38,990 --> 00:01:41,630 Tim Harley: of looking at the mania recently, just over the last 34 00:01:41,630 --> 00:01:45,110 Tim Harley: 12 months, the Sydney median house price has increased by $150,000. 35 00:01:46,220 --> 00:01:49,370 Tim Harley: So that's three thousand dollars per week. And what this 36 00:01:49,370 --> 00:01:51,830 Tim Harley: means is you needed to save thirty thousand dollars last 37 00:01:51,830 --> 00:01:54,440 Tim Harley: year just to not go backwards in your goal of 38 00:01:54,440 --> 00:01:57,350 Tim Harley: saving towards a 20 per cent deposit. And so when our 39 00:01:57,350 --> 00:02:00,380 Tim Harley: customers say they feel like they're chasing their tail or 40 00:02:00,380 --> 00:02:02,750 Tim Harley: that the goalposts are always moving, they have been and 41 00:02:02,750 --> 00:02:07,040 Tim Harley: they've actually been moving really fast. And so our thesis at OwnHome is 42 00:02:07,040 --> 00:02:10,310 Tim Harley: that Australians aren't facing a servicing challenge. They're facing an 43 00:02:10,310 --> 00:02:14,090 Tim Harley: eye-watering deposit barrier. And this is where rent to own 44 00:02:14,090 --> 00:02:17,270 Tim Harley: really offers immense value by, as you mentioned, Sean, locking in 45 00:02:17,270 --> 00:02:18,740 Tim Harley: that rate of price growth. 46 00:02:18,919 --> 00:02:20,030 Sean Aylmer: So tell me, how does it work? 47 00:02:20,419 --> 00:02:24,140 Tim Harley: Sure. Firstly, customers pay a monthly equivalent to what it 48 00:02:24,139 --> 00:02:26,480 Tim Harley: would cost to rent and save for that property on 49 00:02:26,480 --> 00:02:28,370 Tim Harley: the market. But then they also have the right to 50 00:02:28,370 --> 00:02:31,580 Tim Harley: buy it at a pre-agreed price. And so with OwnHome they're 51 00:02:31,580 --> 00:02:35,210 Tim Harley: also building up purchase credits along the way. And this, 52 00:02:35,210 --> 00:02:37,370 Tim Harley: this gives customers a couple of benefits. It gives you 53 00:02:37,370 --> 00:02:40,040 Tim Harley: certainty and protection from a runaway market. You get to 54 00:02:40,040 --> 00:02:43,399 Tim Harley: move in today obviously, and you get to gain exposure 55 00:02:43,400 --> 00:02:46,940 Tim Harley: to the property upside. And so maybe I'll just dive 56 00:02:46,940 --> 00:02:50,510 Tim Harley: into some high-level figures just so listeners can understand how 57 00:02:50,510 --> 00:02:51,060 Tim Harley: it works. 58 00:02:51,080 --> 00:02:51,980 Sean Aylmer: Yeah. Yeah. 59 00:02:51,980 --> 00:02:55,070 Tim Harley: So let's look at a million dollar property in Sydney 60 00:02:55,280 --> 00:02:57,470 Tim Harley: and let's assume that the market's growing at the kind 61 00:02:57,470 --> 00:03:00,559 Tim Harley: of 10-year average, which is about 6.5 per cent. And that's 62 00:03:00,560 --> 00:03:03,410 Tim Harley: actually well below the long run, 50 year average of 8.7 per cent. 63 00:03:03,680 --> 00:03:07,220 Tim Harley: And so we'll compare that to renting and saving towards 64 00:03:07,220 --> 00:03:10,640 Tim Harley: a 13.5 per cent deposit over five years, which is where OwnHome lands you at. 65 00:03:12,200 --> 00:03:15,950 Tim Harley: And so assuming that a customer can't access a mortgage 66 00:03:15,950 --> 00:03:18,470 Tim Harley: or can't access the bank of mum and dad, on 67 00:03:18,470 --> 00:03:20,960 Tim Harley: a million-dollar property each week, they would pay in the 68 00:03:20,960 --> 00:03:24,769 Tim Harley: vicinity of about $650 dollars in rent and $700 dollars 69 00:03:24,770 --> 00:03:28,430 Tim Harley: in savings for that future deposit. So about $1,350 cash 70 00:03:28,430 --> 00:03:32,149 Tim Harley: required each week. Now with OwnHome, you pay the $1,350 71 00:03:32,389 --> 00:03:34,640 Tim Harley: to OwnHome, but obviously, you get to enjoy living in 72 00:03:34,639 --> 00:03:38,540 Tim Harley: that home today and excitingly included in this are those 73 00:03:38,540 --> 00:03:40,850 Tim Harley: purchase credits to go towards the eventual purchase of the 74 00:03:40,850 --> 00:03:45,910 Tim Harley: home and these amount to about $150,000 dollars over five years. 75 00:03:45,920 --> 00:03:48,560 Tim Harley: And so when you buy the home back from OwnHome 76 00:03:49,010 --> 00:03:52,220 Tim Harley: at any time between three to seven years, you simply 77 00:03:52,220 --> 00:03:55,100 Tim Harley: get a bank mortgage for the purchase price, less those 78 00:03:55,100 --> 00:03:59,620 Tim Harley: purchase credits you've accrued and so importantly, to finish off 79 00:03:59,630 --> 00:04:00,980 Tim Harley: and round it all out because there's a lot of 80 00:04:00,980 --> 00:04:03,560 Tim Harley: numbers there, Sean. So while you spent the same cash 81 00:04:03,560 --> 00:04:06,140 Tim Harley: out the door each year, versus renting and saving, with OwnHome, 82 00:04:06,350 --> 00:04:10,100 Tim Harley: you've also been capturing the capital gains upside. So any 83 00:04:10,100 --> 00:04:14,060 Tim Harley: property growth above that 3.8 per cent per annum, but 84 00:04:14,060 --> 00:04:15,260 Tim Harley: there's a lot of numbers there. So you may have 85 00:04:15,260 --> 00:04:16,200 Tim Harley: some questions around them. 86 00:04:16,630 --> 00:04:20,300 Sean Aylmer: Yes, so the $1,350. So effectively you're paying rent and savings 87 00:04:20,450 --> 00:04:24,650 Sean Aylmer: all in one, so you're making it easier for someone 88 00:04:24,650 --> 00:04:27,530 Sean Aylmer: to actually do that. So you're paying more rent upfront 89 00:04:27,740 --> 00:04:29,270 Sean Aylmer: than you would if you're just doing it yourself, but you're 90 00:04:29,270 --> 00:04:32,479 Sean Aylmer: moving into the house that you will eventually purchase, which 91 00:04:32,480 --> 00:04:35,570 Sean Aylmer: is a good thing. Then at the end of the three, four, five, six, 92 00:04:35,570 --> 00:04:38,630 Sean Aylmer: seven-year period, and I presume that's set at the beginning, 93 00:04:39,080 --> 00:04:42,200 Sean Aylmer: that extra amount you've been paying each week is sitting there. 94 00:04:42,529 --> 00:04:45,380 Sean Aylmer: Are you getting interest on that extra amount as it accrues? 95 00:04:45,380 --> 00:04:47,510 Sean Aylmer: And then the next thing is, so that amount turns 96 00:04:47,510 --> 00:04:51,589 Sean Aylmer: out to $150,000. Say you're borrowing $85,000 in today's dollars 97 00:04:51,740 --> 00:04:54,980 Sean Aylmer: notwithstanding price increases. Is that how it all works sort 98 00:04:54,980 --> 00:04:55,170 Sean Aylmer: of thing? 99 00:04:55,640 --> 00:04:58,940 Tim Harley: Yes. So the purchase credits, as part of the OwnHome 100 00:04:59,240 --> 00:05:03,500 Tim Harley: simple monthly payment, firstly, we try to simplify homeownership into one or 101 00:05:03,500 --> 00:05:07,460 Tim Harley: two payments because, as you know, it's a very complex and costly process, but 102 00:05:07,460 --> 00:05:10,700 Tim Harley: that single monthly payment accrues you two and a half 103 00:05:10,700 --> 00:05:13,380 Tim Harley: per cent of the value of the home each year. 104 00:05:13,460 --> 00:05:13,870 Sean Aylmer: Right. 105 00:05:13,880 --> 00:05:16,160 Tim Harley: And so every year you're getting a two and a 106 00:05:16,160 --> 00:05:18,860 Tim Harley: half per cent stake by virtue of those purchase credits that 107 00:05:18,860 --> 00:05:21,320 Tim Harley: you put towards your home. And so that three to 108 00:05:21,320 --> 00:05:24,020 Tim Harley: seven year window you mentioned is really us saying we 109 00:05:24,020 --> 00:05:26,510 Tim Harley: don't want to try to guess where the economic cycle 110 00:05:26,510 --> 00:05:28,430 Tim Harley: is or where you are in your own life. We 111 00:05:28,430 --> 00:05:30,710 Tim Harley: want to give you a nice big window so that 112 00:05:30,710 --> 00:05:33,580 Tim Harley: you can decide when the right time is to exercise for you. 113 00:05:33,800 --> 00:05:36,620 Tim Harley: For some customers, that will be straight away at three years. 114 00:05:36,770 --> 00:05:39,799 Tim Harley: That's the earliest they can exercise. And for others, they 115 00:05:39,800 --> 00:05:41,270 Tim Harley: want the full seven-year period. 116 00:05:42,230 --> 00:05:46,010 Sean Aylmer: Okay. And the numbers that you're talking about are based on 117 00:05:46,010 --> 00:05:48,910 Sean Aylmer: long-run averages. So how do you make money? 118 00:05:49,250 --> 00:05:53,990 Tim Harley: So very simply, we see ourselves as a service business. 119 00:05:54,060 --> 00:05:56,870 Tim Harley: We're not buying an asset and trying to game upside 120 00:05:56,870 --> 00:06:00,380 Tim Harley: and downside. We're providing the service that is the ability 121 00:06:00,380 --> 00:06:03,560 Tim Harley: to move into a home and live and save in it at 122 00:06:03,560 --> 00:06:05,930 Tim Harley: the same time. And so we really do see ourselves 123 00:06:05,930 --> 00:06:09,739 Tim Harley: as a service business. And so like any services businesses, 124 00:06:09,740 --> 00:06:12,380 Tim Harley: we will make money by virtue of the value we 125 00:06:12,380 --> 00:06:15,349 Tim Harley: provide customers. And so for those customers that are excited 126 00:06:15,350 --> 00:06:19,430 Tim Harley: about moving in early, we agree that 3.8 per cent capital 127 00:06:19,430 --> 00:06:22,640 Tim Harley: gain that basically locks in a return for us and 128 00:06:22,640 --> 00:06:24,590 Tim Harley: then leaves the rest of the value on the table 129 00:06:24,589 --> 00:06:29,450 Tim Harley: for customers. And, Sean, we are actually pretty vocal about no 130 00:06:29,450 --> 00:06:32,150 Tim Harley: one knows what will happen in the future with the market. 131 00:06:32,150 --> 00:06:35,030 Tim Harley: And you'll see on our website we have a calculator 132 00:06:35,029 --> 00:06:38,479 Tim Harley: that's kind of helpful indication for customers. If the market 133 00:06:38,480 --> 00:06:41,150 Tim Harley: grows at less than 3.8 per cent, then it is an 134 00:06:41,150 --> 00:06:44,150 Tim Harley: incremental cost to use OwnHome. So that's completely up to 135 00:06:44,150 --> 00:06:46,490 Tim Harley: customers to choose and decide. 136 00:06:46,700 --> 00:06:48,200 Sean Aylmer: OK, so where do the homes come from? 137 00:06:48,470 --> 00:06:51,980 Tim Harley: Sure, so this is actually a really exciting difference between the 138 00:06:52,310 --> 00:06:56,330 Tim Harley: OwnHome model and the overseas model. So as you may be aware, 139 00:06:56,360 --> 00:06:59,780 Tim Harley: in the US, the model really took off post the 140 00:06:59,779 --> 00:07:03,260 Tim Harley: 2008 financial crisis and this was because there were large 141 00:07:03,260 --> 00:07:06,680 Tim Harley: defaults on homes. And so players like Blackstone could go 142 00:07:06,680 --> 00:07:10,940 Tim Harley: and basically purchase up entire neighbourhoods to then rent back out. 143 00:07:11,090 --> 00:07:13,640 Tim Harley: And so they would purchase homes and then have a 144 00:07:13,640 --> 00:07:16,940 Tim Harley: predefined stock to rent out. So excitingly, for OwnHome, we 145 00:07:16,940 --> 00:07:19,370 Tim Harley: actually leave it to our customers. So once a customer 146 00:07:19,370 --> 00:07:23,060 Tim Harley: is qualified for an amount, they send homes to us 147 00:07:23,060 --> 00:07:25,790 Tim Harley: that we go and then purchase on their behalf. And 148 00:07:25,790 --> 00:07:29,540 Tim Harley: so it's very different to kind of the mainstream US model. 149 00:07:29,750 --> 00:07:32,900 Tim Harley: We don't have a predefined stock. We let customers do 150 00:07:32,900 --> 00:07:36,650 Tim Harley: the Australian national sport, which is searching Domain and realestate.com, 151 00:07:37,550 --> 00:07:40,190 Tim Harley: find their favourite home and then send our way for us 152 00:07:40,190 --> 00:07:43,040 Tim Harley: to value. Make sure we have all the right reports 153 00:07:43,190 --> 00:07:45,650 Tim Harley: to make sure we're buying a home that doesn't have 154 00:07:45,650 --> 00:07:47,030 Tim Harley: defects at the right price. 155 00:07:47,510 --> 00:07:50,090 Sean Aylmer: So you buy the house or the apartment. Let's say it's a 156 00:07:50,090 --> 00:07:52,130 Sean Aylmer: million dollars in Sydney, so it's probably an apartment. You're 157 00:07:52,130 --> 00:07:56,570 Sean Aylmer: buying the apartment. Do you own it under your name, under the OwnHome name? 158 00:07:56,600 --> 00:07:56,810 Tim Harley: Yep. 159 00:07:56,900 --> 00:08:01,070 Sean Aylmer: And then you're effectively selling it on to the customer 160 00:08:01,250 --> 00:08:03,470 Sean Aylmer: at the end of the three, four, five, six-year period? 161 00:08:04,040 --> 00:08:07,429 Tim Harley: Yeah, that's correct. And so it's a rebalancing of the 162 00:08:07,430 --> 00:08:10,700 Tim Harley: risk equation, really. As you know, banks require a 20 163 00:08:10,700 --> 00:08:14,510 Tim Harley: per cent deposit. It's somewhat suspicious that that number hasn't changed 164 00:08:14,510 --> 00:08:17,450 Tim Harley: in many decades, despite all the technology that we now 165 00:08:17,450 --> 00:08:18,260 Tim Harley: have access to. 166 00:08:18,950 --> 00:08:19,070 Sean Aylmer: Yeah. 167 00:08:19,070 --> 00:08:21,739 Tim Harley: And so this really was us asking the question, is a 168 00:08:21,740 --> 00:08:24,530 Tim Harley: 20 per cent deposit a law of nature or a law 169 00:08:24,530 --> 00:08:28,010 Tim Harley: of gravity? Or are there other ways that investors can 170 00:08:28,010 --> 00:08:31,410 Tim Harley: get comfortable providing people with a new path to homeownership? 171 00:08:31,430 --> 00:08:33,620 Tim Harley: And so that's one of the ways we rebalance the 172 00:08:33,620 --> 00:08:34,130 Tim Harley: risk there. 173 00:08:34,670 --> 00:08:36,800 Sean Aylmer: Stay with me, Tim. We'll be back in a minute. 174 00:08:41,780 --> 00:08:45,290 Sean Aylmer: My guest this morning is Tim Harley, the co-founder of OwnHome. Okay, 175 00:08:46,010 --> 00:08:47,570 Sean Aylmer: so who is typically your customer? 176 00:08:47,809 --> 00:08:52,550 Tim Harley: Yeah, so typically, Sean, our customers are those without access to 177 00:08:52,550 --> 00:08:54,679 Tim Harley: the bank of mum and dad. It's as simple as that. 178 00:08:54,800 --> 00:08:56,900 Tim Harley: There are also customers who have access to the bank 179 00:08:56,900 --> 00:08:58,429 Tim Harley: of mum and dad, but don't want to put their 180 00:08:58,429 --> 00:09:00,560 Tim Harley: parents in the financial position of, you know, they need 181 00:09:00,559 --> 00:09:03,620 Tim Harley: to draw down equity in their family home. So I 182 00:09:03,620 --> 00:09:06,140 Tim Harley: guess to zoom in on who the kinds of customers 183 00:09:06,140 --> 00:09:08,420 Tim Harley: that that captures, we have customers at the very start 184 00:09:08,420 --> 00:09:11,360 Tim Harley: of their career eager to jump ahead in life and 185 00:09:11,360 --> 00:09:14,660 Tim Harley: purchase that two-bedder with the study. But we also actually 186 00:09:14,660 --> 00:09:17,420 Tim Harley: have a large number of customers who are invested in 187 00:09:17,420 --> 00:09:21,320 Tim Harley: other areas of their life. So some customers are prioritising 188 00:09:21,320 --> 00:09:24,050 Tim Harley: putting their kids through expensive schooling or even investing in 189 00:09:24,050 --> 00:09:28,130 Tim Harley: their own businesses. And so excitingly, we provide them the 190 00:09:28,130 --> 00:09:30,590 Tim Harley: chance to not have to choose between those so they 191 00:09:30,590 --> 00:09:35,090 Tim Harley: can prioritise putting their kids through expensive schooling if they 192 00:09:35,090 --> 00:09:37,250 Tim Harley: want to. And they can also then build wealth in 193 00:09:37,250 --> 00:09:38,809 Tim Harley: their own home by using OwnHome. 194 00:09:39,429 --> 00:09:41,960 Sean Aylmer: So the risk to me, if I was to do this, 195 00:09:42,320 --> 00:09:44,780 Sean Aylmer: what I'd be worried about is keeping up with the 196 00:09:44,809 --> 00:09:50,150 Sean Aylmer: $1,350 dollar weekly repayment. What happens if after 18 months 197 00:09:50,630 --> 00:09:52,490 Sean Aylmer: I lose my job and I just can't afford to 198 00:09:52,490 --> 00:09:53,650 Sean Aylmer: make those repayments? 199 00:09:54,380 --> 00:09:57,890 Tim Harley: Yeah, so this is really important to us. We are 200 00:09:57,890 --> 00:10:00,679 Tim Harley: a business that exists to get people into their homes, 201 00:10:00,679 --> 00:10:03,260 Tim Harley: not to profiteer off of people if they're in a 202 00:10:03,260 --> 00:10:05,960 Tim Harley: tough situation. So there's a couple of elements to this. 203 00:10:06,110 --> 00:10:09,020 Tim Harley: One is that we run and ask the same question 204 00:10:09,020 --> 00:10:11,900 Tim Harley: that banks ask, say when they're writing a mortgage, and 205 00:10:11,900 --> 00:10:16,130 Tim Harley: that is looking at Sean's financial position and lifestyle behaviours, 206 00:10:16,380 --> 00:10:19,820 Tim Harley: what size mortgage could they lend to yourself? And for OwnHome, 207 00:10:20,150 --> 00:10:23,300 Tim Harley: we're asking that question, but how much can you afford 208 00:10:23,300 --> 00:10:25,670 Tim Harley: to spend on OwnHome per month? And so there's a 209 00:10:25,670 --> 00:10:28,640 Tim Harley: number of buffers within that. And so we want to 210 00:10:28,640 --> 00:10:30,770 Tim Harley: make sure from the outset we're getting a customer who 211 00:10:30,980 --> 00:10:34,490 Tim Harley: would never be put in hardship under the OwnHome product. 212 00:10:34,770 --> 00:10:38,380 Tim Harley: So that's the kind of stage gate. The second is, say, 213 00:10:38,720 --> 00:10:43,370 Tim Harley: if something does happen, we have the normal policies around, 214 00:10:43,370 --> 00:10:46,460 Tim Harley: you know, hardship in arrears. And it's actually quite a 215 00:10:46,460 --> 00:10:50,150 Tim Harley: systemised process that lasts about 70 to 90 days that 216 00:10:50,179 --> 00:10:53,839 Tim Harley: is mainly trying to help businesses help customers through those 217 00:10:53,840 --> 00:10:57,770 Tim Harley: tough periods. But finally, I guess in the very final 218 00:10:58,040 --> 00:11:01,250 Tim Harley: say on this is should you be unable to make 219 00:11:01,250 --> 00:11:03,950 Tim Harley: payments or for whatever reason and say that the months 220 00:11:03,950 --> 00:11:06,530 Tim Harley: of work we've put in trying to help support you 221 00:11:06,530 --> 00:11:08,930 Tim Harley: through that tough time in your life, we would look 222 00:11:08,929 --> 00:11:11,840 Tim Harley: at other ways to help you exit the option that 223 00:11:11,840 --> 00:11:14,780 Tim Harley: let you crystallise some of that value, whether it's by 224 00:11:14,990 --> 00:11:17,990 Tim Harley: selling the property, putting another customer in that property or 225 00:11:17,990 --> 00:11:21,470 Tim Harley: selling your option. So there's a couple of elements to that question. 226 00:11:22,429 --> 00:11:25,160 Sean Aylmer: Tim, you have successfully raised money, $3.6 million so you've got people that 227 00:11:25,160 --> 00:11:27,920 Sean Aylmer: are supporting you. What's the goal? What's the five-year goal for OwnHome? 228 00:11:29,210 --> 00:11:32,209 Tim Harley: The five-year goal, if any startup can tell you what 229 00:11:32,210 --> 00:11:34,440 Tim Harley: their five-year goal is, they're probably lucky. 230 00:11:35,150 --> 00:11:35,480 Sean Aylmer: Yeah. Good point. 231 00:11:35,760 --> 00:11:39,020 Tim Harley: But the vision really is to provide a new path 232 00:11:39,020 --> 00:11:43,219 Tim Harley: to homeownership for every Australian. And we hope there are 233 00:11:43,220 --> 00:11:45,050 Tim Harley: a number of other players that come into the market. 234 00:11:45,050 --> 00:11:47,660 Tim Harley: Like this is a really big problem. Sean, there is 4.5 235 00:11:48,170 --> 00:11:51,079 Tim Harley: million young Australians who don't own the home that they 236 00:11:51,080 --> 00:11:53,630 Tim Harley: live in. And so our goal is to have a 237 00:11:53,630 --> 00:11:56,840 Tim Harley: path to homeownership for customers that like and prefer the 238 00:11:56,840 --> 00:12:00,439 Tim Harley: rent to own path that are NPS (Net Promoter Score) 100 and feel 239 00:12:00,440 --> 00:12:04,400 Tim Harley: like OwnHome is their partner on this journey towards home ownership. 240 00:12:04,580 --> 00:12:08,449 Tim Harley: And we'll only get there by building a brand where 241 00:12:08,450 --> 00:12:10,760 Tim Harley: we partner with partners who have the same vision. So 242 00:12:10,760 --> 00:12:14,870 Tim Harley: the likes of CBA and these global investors and partners, 243 00:12:14,870 --> 00:12:17,390 Tim Harley: who think about what is right for the customer. The 244 00:12:17,390 --> 00:12:19,790 Tim Harley: goal is not to get as many homes onto our books 245 00:12:19,790 --> 00:12:23,829 Tim Harley: as possible. The goal is to create a generational path to homeownership. 246 00:12:24,260 --> 00:12:27,920 Sean Aylmer: Well, anything that's giving people more opportunity to get into 247 00:12:27,920 --> 00:12:29,780 Sean Aylmer: the home market is a good thing. Tim, thank you 248 00:12:29,780 --> 00:12:30,850 Sean Aylmer: for joining Fear and Greed. 249 00:12:31,280 --> 00:12:32,870 Tim Harley: Thanks very much, Sean. Appreciate your time. 250 00:12:33,200 --> 00:12:36,440 Sean Aylmer: That was Tim Harley, the co-founder of OwnHome. This is 251 00:12:36,440 --> 00:12:38,479 Sean Aylmer: the Fear and Greed Daily Interview. Join me every morning 252 00:12:38,480 --> 00:12:40,849 Sean Aylmer: for the full Fear and Greed podcast with all the 253 00:12:40,850 --> 00:12:43,040 Sean Aylmer: business news you need to know. I'm Sean Aylmer. Enjoy your day.