Pay Only 70% of the asking price now.
“It’s not just first time buyers who can benefit from a government-backed home buying scheme; families in need of extra space could also make a life changing step up to a bigger and better home for a fraction of the normal cost,” says Pauline Turnbull, sales director for Redrow Homes.
Families in need of an additional bedroom or those who aspire to a larger home but don’t want to take on a bigger mortgage may find the smart answer in HomeBuy Direct.
Whilst heralded as the solution for cash-strapped first time buyers desperately trying to get onto the property ladder, HomeBuy Direct is open to a variety of customers, families included – provided their annual income is less than £60,000.
As a result, growing families in search of more space could find themselves able to purchase a brand new three or four-bedroom family home for an initial outlay that’s comparable with the cost of their existing, somewhat smaller home. They can delay paying for the extra space until they have additional funds available.
The £400 million HomeBuy Direct programme can provide an interest-free equity loan of up to 30 per cent of the purchase price - jointly funded by the Homes and Communities Agency (HCA) and the developer.
Award winning Redrow is providing almost 700 homes through the programme at 33 developments across England, including 400 family houses - some of which are already built and ready to move into now.
Among them are a collection of three and four-bedroom homes at Danum St Giles in Doncaster, with prices starting from as little as £146,995 using HomeBuy Direct.
Customers will own 100% of their home from day one – but initially may only have to pay as little as 70% of the purchase price. They can start purchasing the remaining share in instalments after just 12 months.
Redrow’s Pauline Turnbull adds: “This is an excellent opportunity for families to get the larger, brand new home they aspire to at a price they can afford. Redrow matches the government pound for pound to provide an equity loan up to 30% of the purchase price and this loan is interest-free for the first five years.
“Because the home owner potentially only needs to borrow 70% of the purchase price, it alleviates the need for a large cash deposit – which could help those with little or no equity in their existing property – and should also give purchasers access to a range of mortgage deals.
“And, with new homes easier to maintain, more energy efficient and potentially cheaper to run than older second hand properties, it all serves to make our new homes very appealing to families who may be feeling the pinch.”
HomeBuy Direct is also targeted at first time buyers and people re-entering the property market following a change in circumstances, eg. divorce or the breakdown of a relationship.
For general information on Redrow homes available through Homebuy Direct, eligibility and how to apply, go to www.redrow.co.uk/homebuydirect.
See Also: Property News (6680)
Date Published: 12 June 2009
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