28 March 2020

A guide to home ownership options

With so many different home buying options available, it’s hard to know which option is best for you. We’re here to make sure you know your choices inside and out. We will get to know you and your situation so we know how best to advise.

With our range of buying options, affording a new home just got a whole lot easier.

Help to Buy

You’ve most probably come across Help to Buy in your home search, however if you haven’t, Help to Buy is the Government backed scheme that allows you to buy your home with just a 5% deposit. Help to Buy is great if you can’t quite afford a full deposit on the open market or if you have a full deposit, Help to Buy could mean you could buy a bigger house than you had initially expected.

The myth is that you have to be a first time buyer and it is safe to say this isn’t the case. Help to Buy is for any buyer who is looking to purchase a new build home.

Help to Buy allows you to own 100% of your home and only pay 80% up front. You will need to provide a 5% deposit and the government will then lend you up to 20% as an equity loan.
You would then need to apply for a mortgage based upon the remaining 75%. 
All our homes marked ‘for sale’ are available with Help to Buy!

The table below gives an example of using Help to Buy to buy a £190,000 home.
EQUITY LOAN 20% £38,000
MORTGAGE 75% £142,500

Shared Ownership
Another scheme you might have heard about is Shared Ownership. Let’s start by busting the myth that it means you have to share your home with someone else, this isn’t the case! Your home is yours.

There are a lot of advantages to Shared Ownership and it’s a great way to get out of the renting cycle and become a home owner.

The aim of the scheme is for you to own 100% of your home as and when you can afford to.
Based upon your affordability, you can buy an initial share of your home between 25% and 75% and make a small monthly rent payment for the remaining share that we retain.
You can then purchase bigger shares as and when you can afford it, this is called ‘staircasing’. The bigger the share you buy, the lower your monthly rent payments become.
The table below gives a guide to how Shared Ownership would work on a £132,500 value property.
Share Price - 35% 5% Deposit Rent (pcm) Service Charge
£46,475 £2,323.75 £197.37 £19.22
Share Price - 50% 5% Deposit Rent (pcm) Service Charge
£66,250 £3,312.50 £151.82 £19.22
Share Price - 75% 5% Deposit Rent (pcm) Service Charge
£99,375 £4,968.75 £75.91 £19.22

Find out more about Shared Ownership here.

Assisted Move

If you’ve just fallen in love with a house but you’ve got your current home to sell, Assisted Move is for you.

Assisted Move means you can reserve your chosen home whilst we work with our local estate agent to get your house sold as soon as possible.

We’ll even pay 50% of your agent’s sale fees too.
Find out more about Assisted Move here.
For more information on any of our buying options, contact us here.