Local households will have a better chance of getting on the property ladder thanks to a new scheme agreed at New Forest District Council’s Cabinet meeting today (6 May 2020). The Council’s shared ownership scheme is designed to help those who can’t otherwise afford to purchase a home of their own on the open market.
The new scheme will enable people to buy a share of their home, requiring a smaller deposit and smaller mortgage, and pay rent on the remaining share. Initial shares can be as little as 25%, to as much as 75% ownership. If a shared-owner’s financial circumstances change, additional shares can be purchased until the home is owned outright, with rent reducing as shares in the property increase.
Cllr Jill Cleary, Portfolio Holder for Housing said; “I’m eager to introduce this scheme as part of the Council’s commitment to providing a variety of affordable housing options in the district and greater housing choice and stability for our residents.
“Shared ownership will help those who wish to get on the property ladder but can’t afford to buy on the open market because of high prices locally. Not only are the initial costs lower with shared ownership, but the combined costs of a mortgage and rent can be cheaper than renting privately.”
The Council’s Housing Strategy 2018 sets out ambitious plans to provide at least 600 new Council homes by 2026 with social rent, affordable rent, and shared ownership tenures.
The Council’s shared ownership scheme is modelled on the Homes England model, recognised and accepted by the market and mortgage lenders. Shared ownership will be available on selected new homes in the district, built as part of the Council’s ongoing housing development projects.
The Council will advertise its shared ownership homes and accept applications through the local Help to Buy agent and on its website. Eligible households must have a connection to the New Forest district and be registered with the Help to Buy agent.
Information about future new schemes will be provided on the Council’s website. In the meantime those who would like to know more about shared ownership or would like to register with the Help To Buy should contact the agency at https://www.helptobuyagent3.org.uk/