In today's financial climate, it has become increasingly difficult for first time buyers to get on board the property ladder and therefore, many are turning to government schemes for assistance in purchasing their first home.
There are existing government schemes in place such as Help to Buy, Right to Buy and Shared Ownership. However, there is a new scheme on the horizon, which could help first time buyers purchase a new build property with a 20% discount. It's called the Starter Homes Land Fund Scheme.
What is the Starter Homes Land Fund Scheme?
Thirty Local Authorities across England are to receive funding for new developments on brownfield land sites.Once the properties are built, they will then be offered to first time buyers with at least a 20% discount on the purchase price.
What is a brownfield land site?
It has been proposed that properties will initially be developed on existing brownfield sites. Areas within a city or town where previously used for industrial purposes or commercial use. For example, sites of abandoned factories.
Is there an age criteria?
The scheme is designed to help young first time buyers, therefore an age criteria has been determined that applicants will need to be between 23 and 40 years of age.
What's the maximum property value that the discount can be applied to?
If you are looking to purchase a property outside of London then the maximum cost of a new home offered via the Starter Homes scheme will be £250,000. If you are looking to purchase in the Capital then that cost increases to £450,000.
Is the scheme in place now?
At present, the scheme is in the planning stages, and there have been some comments that the timescale to complete the first developments for 2018 is a little optimistic. However, the wheels are in motion and those that are interested in applying for the scheme are encouraged to register their interest to find out more.
Where can you register your interest?
You can view more information about the Scheme and where you can register your interest here.