Affordable Homes

There are various government schemes available to help potential and existing home owners. It can be very confusing choosing which option may suit you, so we are giving you an overview of the different options. 

Fitzhugh Gates solicitors can refer you to Independent Financial Advisors who will help you choose the right mortgage product to suit your circumstances and the scheme you choose. Our experienced conveyancing teams in Brighton and Shoreham will be happy to help with all the legal aspects of the purchase.

Help to Buy

This scheme allows anyone to purchase a home with just a 5% deposit. The government's Help to Buy scheme now makes it possible to get a mortgage for a new or existing home with just a 5% deposit. It is available for first time buyers or existing homeowners. You can buy a new build or existing home with a value of up to £600,000.

New Buy

New Buy lets you buy a new-build home with a purchase price of up to £500,000 with a deposit of only 5%. You don’t have to be a first-time buyer and there’s no limit on your level of income. Your new home must be your main home, owned fully by you (i.e. you cannot use this in shared ownership purchases) and must be built by a builder taking part in the scheme. Such schemes are usually advertised by the developers or the sales office.

Shared ownership

Shared Ownership Schemes are provided through housing associations. You buy a share of your home (between 25% and 75% of the home's value) and pay rent on the remaining share. You can buy bigger shares at a later stage when you can afford to (this is known as "staircasing"). New builds and existing homes are
 available through housing associations. You can search online for housing associations in Brighton, Hove, Shoreham-by-Sea and surrounding areas that are offering this scheme. There are limits on household income to qualify for this scheme, so you need to check the details with your chosen housing association. Please note that not all lenders will provide mortgages for such schemes, so you may need an independent financial advisor to assist you to find the right mortgage product to suit you.

Assisted Sale

Assisted Sale is an option when purchasing a brand new home. The builder does not buy your existing home, but instead they assist your sale with the help of a professional property sales company. Assisted Sale allows you to reserve your brand new home for a fixed period of time (normally six weeks). Assisted Sale can be used in conjunction with Help to Buy. Under this part of the scheme buyers are required to contribute at least 5% of the property price as a deposit and the government will provide a loan for up to 20% of the property price. Buyers will then need to obtain a mortgage of up to 75% to cover the rest. The home builder pays the estate agent's fees and will help manage the sale of your existing property through a specialist property sales company

Further Information 

There is further information available on the following websites:

Moira MacFarlane - Partner

Important guidance on articles published by Fitzhugh Gates Solicitors

Articles published through this website contain only general advice and are not intended as professional counsel and should not be used as such.

If you require specific advice on a particular issue or problem highlighted by this article, then please contact Fitzhugh Gates, the Solicitors for Brighton and Hove and Shoreham-by-Sea. 

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