New homes for hundreds of housebuyers under government's Help to Buy equity loan scheme
Hundreds of house buyers in Kent now have a new home
Hundreds of Kent house buyers have moved into a new-build home in Kent... thanks to a government right to buy scheme.
The nationwide Help To Buy: Equity Loan scheme, which has been running since April, has given the new-build housing market a lift in the county.
More than 350 new owners completed on their purchase in Kent under the scheme last year, which allows people to get a house with a deposit as small as 5% of the total cost.
A further 350 have applied to join the scheme, and are going through the process.
With a Help to Buy equity loan, the government loans you up to 20% of the cost of a new-build home, so buyers only need a 5% deposit and a 75% mortgage to make up the rest.
Help to Buy equity loans are open to both first-time buyers and home movers on new-build homes worth up to £600,000.
Marilyn DiCara, director of sales and marketing at Moat, said: “People in Kent have taken to it really, really well. It’s proving to be one of the most popular products we’ve ever run out.
“So far we have had 358 sale completions - properties people have moved into.
"In addition to that we have got 89 people who have exchanged contracts plus 250 who have reserved properties and will be expected to exchange and complete over the next few weeks.
House buyers are rushing to complete on new homes
“The Help To Buy Equity loans is available to most people but we are finding, in reality, by far the majority of people who are taking it up are actually first time buyers.
“When I looked at the stats, it’s something like 97% of the people going for this scheme are people who have never owned a property before.”
Nationally 750 homes have already been bought under the Help to Buy: Mortgage Guarantee Scheme, introduced in October.
It allows potential homeowners the chance to buy any home - not just new builds - with a deposit of as little as 5%.
The scheme works by offering lenders the option to buy a guarantee on mortgages where the borrower has a deposit of between 5% and 20%.
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