On April 1st a new scheme to make it easier to buy a new home came into effect.
Help to Buy* is a Government backed equity scheme that enables buyers to purchase a new home with just 5% deposit and a 20% Government equity loan – a loan that can be repaid at any time within the first 25 years.
You provide the 5% deposit, your mortgage company lends you 75% of the value of the house, leaving 20%, which is the portion that the Government will lend to you - interest free - for five years. It applies to any new home valued at £600,000 or less.
The Help to Buy scheme is available at Linden Homes’ Northfields development in Colchester. Northfields is an innovative and unusual development with an ultra modern design set alongside lots of green, open space. It consists of one and two bedroom apartments as well as two, three and four bedroom houses. Colchester railway station is within walking distance.
The extraordinary and contemporary design of these lovely homes, coupled with the excellent location, has meant that Northfields has been very popular and selling well.
Using Help to Buy, it would be possible to buy a three bedroom terraced house, priced at £195,950 with a deposit of just under £9,800. The Government would provide an equity loan of 20% (in this case the equivalent of just under £40,000) leaving a mortgage of £147,000.
Gareth Jacob, Linden Homes Eastern’s sales and marketing director says Help to Buy should make the financial implications of buying a new home at Northfields far less daunting:
“With the assistance of the Help to Buy scheme, it is perfectly possible to buy a three bedroom home at Northfields with a deposit of less than £10,000. I think this scheme will put new home ownership in a slightly different light for some people. The Government equity loan of 20% could well persuade lots of people that now is the time to buy a new home. It may be the incentive they have been waiting for. So it is definitely worth coming to have a look at the homes at Northfields. Our team there can help you work out how this scheme can work for you.”
For more information please call 01206 844 755 or visit the sales and marketing suite on site, which is open daily from 10am to 5pm.
*conditions apply
-ENDS-
For further information, contact Claire McCowan or Tracy Mannion at Remarkable Public Relations on 01962 893 893 or Claire.mccowan@remarkablegroup.co.uk
