The property market has seen house prices climb in the last year, in which Britain recorded an average high of £250,000 in November. But to give renewed hope for first-time buyers, the new scheme – running from April 2021 to March 2023 – will only be available to those looking to take their first step on the property ladder. It will also see regional price caps introduced, which will undoubtedly impact the value of the property purchasers are looking to buy.
The Government will still lend first-time buyers up to 20% of the cost of their home, with a minimum 5% of the purchase price needing to be saved by the homebuyer as a deposit, where contributions from a Help to Buy ISA or Lifetime ISA can be used. The remaining 75% comes from a specialist Help to Buy equity loan.
Taking the new Help to Buy scheme into consideration, and with the East of England price capped at £407,400, we have a number of three bedroom, semi-detached properties across our Saddlers Lea development in Newmarket, Suffolk, that first-time buyers can take advantage of.
This means with a minimum 5% deposit, first-time buyers will only need to save a minimum of:
• £20,000 for the three-bedroom semi-detached Jenhurst priced at £399,950, or
• £19,800 for the three-bedroom semi-detached Ickhurst priced at £395,950
Cala Homes will additionally match the 5% deposit purchasers put down towards the mortgage when using Help to Buy, thereby reducing the loan amount required by the Government.
Set over three floors, first-time buyers can expect plenty of space with the Ickhurst as it offers open-plan living with a generous sitting room, en suite main bedroom and impressive storage. Equally, the Jenhurst, complete with home study, private en suite and combined kitchen and dining room space, is perfect for those looking to take their first steps towards owning a home.
The equity loan is interest-free for the first five years, meaning homebuyers don’t need to make any repayments on it during that time.
Glenn Copper, Sales and Marketing Director for Cala Homes North Home Counties region, comments: “We can’t encourage first-time buyers enough to take advantage of the new Help to Buy scheme. Saddlers Lea is a fantastic development and a great opportunity for budding homebuyers to take their first steps on the property ladder. The attainable 5% deposit options on all remaining properties, along with our 5% deposit match, makes it all the more appealing. We urge those interested to book an appointment and take advantage of this great scheme.”
The regional price caps across the country may mean less choice of property, but the scheme remains a great opportunity in enabling first-time buyers to get on the property ladder with a much lower deposit. Those interested in Help to Buy can work out their deposit and potential Government loan using Cala’s Help to Buy calculator.
For further information on Cala Homes North Home Counties, the new Help to Buy scheme and to register your interest in the properties available at Saddlers Lea, please visit our North Home Counties page.
