Specific targeted help for first-time buyers is provided by the government, and in particular the Help to Buy ISA is not to be sniffed at, offering as it does a bonus of £50 for every £200 saved. Even if you're not looking to buy right away, this is a great way to save, as the maximum will see savers earning a tax free bonus of £3,000 if they have saved £12,000. Don't forget that if you're buying your property with a partner they can also do the same, effectively doubling the government help, and potentially making a huge difference to the size of the deposit you are able to generate.
For those who do not have a large deposit available, the Help to Buy equity loan could be a good opportunity, and in addition, government supported shared-ownership schemes can often be a particularly efficient way of bridging the gap between renting and outright ownership.
The magic number to remember if you are thinking of buying a new build home is 5%. This is the minimum deposit you are going to need. Doing the sums, if the home you were buying was costing £200,000, a minimum deposit of £10,000 would be needed. The government will lend up to 40% of the property's value in London, leaving the mortgage at £110,000.
With Help to Buy London, with just a 5% deposit you could own one of our brand new contemporary apartments at VIDA. These modern apartments come perfectly positioned in the heart of Acton, equipped to a high level specification, and with Help to Buy, are more affordable than you might think!
Why not drop into our office for a chat and discuss Help to Buy developments in the local area that meet your requirements. With the 5% deposit requirement and favourable loan conditions, I am confident that many people remain in rental accommodation could now afford to own their own home.
Robert Barrett, New Homes Director