The Homes and Communities Agency’s (HCA) new home ownership initiative, FirstBuy, an equity loan scheme now available to help first time buyers get on the property ladder, has been secured by Countryside Properties at its developments at Springhead Park in Ebbsfleet and Horizon One in Gravesend. With FirstBuy, prices start from as low as £88,000 for a one bedroom apartment at Horizon One.
At Horizon One, the scheme is available on one and two bedroom apartments and two and three bedroom houses, whilst at Springhead Park it is available on the one and two bedroom apartments.
FirstBuy means that eligible first time buyers can purchase 100% of their new property with the assistance of an equity loan of up to 20% of the full purchase price. The loan will be jointly funded by the HCA and Countryside Properties. Of the 80% that purchasers are required to fund, they will need a deposit of 5% of the purchase price, so they just need a 75% mortgage.
For example, for a one-bedroom apartment at Horizon One, priced at full market value of £110,000, buyers who take advantage of FirstBuy can receive an equity loan of up to 20%, equating to £22,000. Through the scheme, buyers need only contribute a further 5% towards the deposit, equating to £5,500; and raise a mortgage for the remaining 75%, equating to £88,000.*
The FirstBuy equity loan remains interest free for five years and is repayable within 25 years of property purchase or upon the sale of your home.
Ian Hepworth, Sales and Marketing Director for Countryside Properties, commented: “Countryside Properties is delighted to announce the availability of FirstBuy at Springhead Park and Horizon One. We have seen previous shared equity schemes such as Homebuy Direct and our own Countryside Properties shared equity scheme making a big difference in the market, and FirstBuy will also make home buying more affordable for those looking to step onto the ladder.
“Recent figures have shown that the average deposit for a house is 21%, for which it would take first time buyers an expected eight years to save.** Through FirstBuy we have pledged to match the deposit contributions of the HCA, which will be a crucial factor in assisting buyers to realise their home buying aspirations.”
The scheme was announced in the Government’s Budget in March 2011 and forms part of the Government’s wider proposals to help people access home ownership. The announcement follows the HCA’s recent pledge of £180m funding to assist approximately 10,500 first time buyers in England.
FirstBuy prices at Springhead Park range from £99,950 for a one bedroom apartment and from £128,000 for a two bedroom apartment. For further information, and for details of the 4 bedroom houses overlooking parkland at Penn Green from £249,950, please contact the marketing suite on 01474 335 195. The marketing suite is open from Thursday to Sunday from 10am to 5pm and on Monday from 1pm to 5pm, or by visiting www.springheadpark.co.uk
FirstBuy prices at Horizon One start from £88,000 for a one-bedroom apartment and from £129,600 for a two-bedroom house. More information is available by telephoning the marketing suite on 01474 536008 or visiting www.horizonone.co.uk
* Percentage of equity loan may vary, not exceeding 20%