There was more positive news about the housing market this month, this time with particular reference to the new homes sector. Britain’s largest house builder reported an increase in reservations by 10% so far this year. It is thought that the government’s Help to Buy scheme has contributed considerably to this increased level of activity.
The National House builders were the first to have the Help to Buy scheme available for their new build properties, however the scheme is now being offered to regional developers, which will allow more buyers to access the scheme.
The Help to Buy scheme is a Government scheme launched to help people purchase a new property with just a 5% deposit by way of an equity loan of up to 20%. Help to Buy is available to all new home buyers, not just first time buyers as previous schemes have been and buyers only need a 5% deposit to qualify.
Help to Buy is a Government backed scheme launched in the March budget and will run until 31 March 2016. The scheme is designed to help buyers purchase a new property with just a 5% deposit by way of an equity loan of up to 20%. Help to Buy is available to all new home buyers, not just first time buyers as previous schemes have been, and buyers only need a 5% deposit to qualify. The scheme will run until 31 March 2016.
Ryder & Dutton New Homes are working closely with their developer clients to assist them in registering their new houses onto the scheme and hope to have a wide range of property types available soon for all buyers. The scheme is available on any new build properties up to a maximum purchase price of £600,000.
For example you can purchase a home for £200,000 (100%) putting down a deposit of £10,000 (5%) combined with a government loan of £40,000 (20%) whilst taking out a mortgage for £150,000 (75%).
The loan can be repaid at any time or upon the sale of your home and there is no interest to pay within the first five years.
You can contact us for further advice regarding the Help to Buy scheme or register your interest in the scheme with our New Homes Department on 0161 925 3235.