Help to buy provides alternative to those in HMOs
People fed up of living in shared tenancies or houses of multiple occupation (HMOs) are being reminded that alternative options exist to help them get a place of their own.
Including the Government’s Help-to-Buy scheme, an initiative that was put in place to stimulate the property market, meant those wanting to buy a home could do so at a much reduced price.
Since its launch in April 2013, a lot of water has passed under the bridge which is why those wanting to buy new - particularly first time buyers - are being reminded about its availability.
Under the scheme, the Government will lend up to 20 per cent of the value of the property through an equity loan*.
This means the purchaser will have to pay just 80 per cent the cost of the property – made up of a 75 per cent mortgage and five per cent deposit.
For example when purchased under Help to Buy, a property priced at £200,000 will cost £160,000 with purchasers needing a deposit of £10,000.
With changes to HMO licencing coming into force across the UK later in the year and BaNES announcing a crackdown on HMO properties (particularly in Bath), is a stark reminder on the need for more new properties to be built across the city to help get people in their own homes.
That is why Mary Timlin, sales and marketing director at Crest Nicholson’s Bath Riverside, is advocating the Help-to-Buy scheme.
Mary said: “When launched there was a lot of coverage on Help to Buy and we’re keen to make sure house hunters understand and are aware that it is still very much available and that there are avenues to help them buy.
“Since it was launched we’ve sold quite a number of properties under the scheme, the majority of which to those who were renting in the city or surrounding area.
“What’s so good about the scheme is that it is available for all purchasers, whether they are first time buyers or those looking to take the next steps on the property ladder.”
An example of the help to buy scheme in action comes in the form of Charles Duance who, having lived in rented accommodation for 14 years, decided it was time to take the plunge and buy his first home.
Key to his decision was the fact that he wanted a hassle free move and a place where he could literally just move into without having to worry about any expensive repairs, upgrades or decorating bills.
As a result, Charles’ search resulted in him buying a brand new, two-bedroom apartment at Bath Riverside where he is now lapping up the lifestyle of the city’s premier property development.
Mary added: “Charles is a great example of how the Help-to-Buy scheme is enabling first-time buyers get their foot on the property ladder and we are delighted he is enjoying the fantastic location and specification of his new apartment.”
For further information please call 01225 463 517 or visit www.crestnicholson.com/bathriverside
The marketing suite on Victoria Bridge Road is open daily from 10 am to 5pm.
* There are no loan fees for the first 5 years. In the sixth year, borrowers will be charged a fee of 1.75% of the loan’s value. After this, the fee will increase every year.