What is New Build HomeBuy?

You pay for a share of the cost of the property and pay rent on the remaining amount

The most widespread affordable housing scheme is New Build HomeBuy (also known as shared ownership). The ‘New Build HomeBuy’ scheme could help you to buy a newly built property.

New Build HomeBuy (also known as shared ownership and part-buy, part-rent) is a form of low cost home ownership which enables you to buy a proportion of a property.

This means you own a share in the equity of that property using either a mortgage and/or savings, and pay rent on the part you do not own.

Will I be able to own my home eventually if I buy through these schemes?

Under the New Build HomeBuy schemes, you can buy additional shares until you own all the property. This is known as "staircasing".

How does it work?

You will be able to buy a share of the property based upon a qualified valuers' valuation

The minimum initial equity on a property is dependent on a range of factors including current property prices and affordability in a particular area. The share is likely to fall within a range of 25-75%.

The proportion of the rent you pay is dependant on the percentage you do not own. For example, if you purchase 40%, you pay rent on the remaining 60%.

What will you own?

You will own an equity of the property on the basis of a long lease, usually 125 years and will have the normal rights and responsibilities of a full home owner.

Click here to see where with this scheme is available.

See Also:  Affordable (7), Affordable Housing (3), Affordable Homes (10), Affordable New Homes (7), Affordable Property (7), First Time Buyers (15), New Build HomeBuy (3), Shared Equity (8), Shared Ownership (4)