Options for First Time Buyers
- Conventional shared ownership – this scheme operates for those ftbs that cannot afford to buy a house in the open market. The ftb buys a share in the property of which the remainder share is owned by a housing association. The ftb pays rent on the share owned by the housing association. The ftb has the option to buy more shares in their property after a year.
- DIY shared ownership – this scheme is offered by local authorities. It allows the ftb to select a property on the open market and then buy it on shared ownership terms with the local housing association. Rent is paid on the share owned by the local authority.
- Homebuy – this scheme allows ftb to get a 25% loan from the local housing association. It is only available to ftbs that qualify; applications are vetted by the local council. The other 75% of the property is bought via a conventional mortgage.
- Key worker – this scheme is only offered to key workers e.g. nurses, doctors, teachers in inner cities
Think carefully before securing other debts against your home.
Your home may be repossessed if you do not keep up repayments on your mortgage.
The overall cost for comparison is 7.1% APR. The actual rate available will depend upon your circumstances. Ask for a personalised illustration. There may be a fee for the mortgage advice. The precise amount will depend on your circumstances, but we estimate it will be 1.5% of the loan amount with a minimum fee of £500 added on to the loan.
Mayfair Consulting Limited is an Appointed Representative of The Mortgage Times Group Limited, 279 Tottenham Court Road, London , W1T 7RJ , which is authorised and regulated by the Financial Services Authority no. 303007.
