Saving for you first home can seem like an impossible task with the huge deposits and increasing shortages of homes but there are ways you can get a leg up on the property ladder while saving a bit of cash in the process. Whether you’re looking for houses not far from the capital or somewhere a little further out you can find your dream home without having to worry about the finances.
This scheme is perfect for anyone looking to ease their way into home ownership and might not have the funds for a 10% deposit. With this programme you can buy up to 75% of your home while renting the rest and avoiding a monumental mortgage. You will only have to pay a deposit on the percentage of the house you wish to buy so for 50% of a £200,000 home the deposit will cost just £10,000 unlike the £20,000 that would come with buying the same house without shared ownership.
The remaining portion of the home that you do not own will be owned by housing associations meaning you will benefit from far cheaper rent than if you rented from a private landlord. With a much more manageable mortgage on your hands you can choose to buy more of the house when you feel ready and eventually own your entire home. This scheme runs in almost all areas of the UK with even shared ownership properties in London if you don’t fancy the commute into the city anymore.
Help to Buy
This government scheme is another way to get a little help in owning your own home while being kind to your finances. Help to Buy offers a 20% equity loan from the government with no interest for the first five years and just a 5% deposit leaving you with a mortgage of 75% of the value of the home compared to the usual 90%.
All these homes are also new builds meaning you get a high-quality home for an affordable price. With houses for sale in Greenwich to Tenterden there is plenty of choice so you can shop around and find the right house in the right area for you whether your looking for a place to raise the kids or somewhere not far from work. Equity loans are also extended to 40% if you live in London leaving you with just a 55% mortgage making living in the capital far more conceivable.
Homes for Londoners
If you’re looking to live in the city but don’t dare face the huge expenses Homes for Londoners is a new scheme introduced by Sadiq Khan that aims to make housing in London genuinely affordable for those who are from the area and work in the capital.
With programmes such as first dibs, Londoners are given priority above overseas buyers when offers on a home are made. In addition, London Living Rent is another option if you are still saving for your first home and offers far less than rent charged by private landlords. With 90,000 homes in the process of being built and £3 billion set aside to tackle London’s housing crisis, London is set to become increasingly affordable over the next few years.
So no matter what your budget may be or what kind of home you’re looking to buy, there are plenty of ways you can get your hands on your dream home without it feeling like an uphill battle. Everyone deserves to have a place to call their own so take advantage of the options out there and you’ll be on your way to moving into your newly found abode.